Genting Singapore, owned by Malaysian billionaire Lim Kok Thay, has announced an additional investment of S$2.3 billion ($1.7 billion) for the refurbishment of its Resorts World Sentosa (RWS) casino resort. The decision comes in response to a surge in hotel room rates in Singapore this year.
Citing preliminary approvals from the Urban Redevelopment Authority in the third quarter, Forbes reported that the planned upgrades involve the construction of a new 700-room hotel and a retail space spanning 21,243 square meters. RWS presently manages five hotels, offering around 1,600 rooms.
Construction of the project, which will showcase a new waterfront sculpture designed by the renowned British architectural firm Heatherwick Studio, is set to commence next year and is projected to conclude by 2031, according to Genting Singapore’s recent announcement.
“It will transform Singapore’s skyline and form a monumental gateway to RWS and the new Greater Southern Waterfront precinct,” the company said.
Genting Singapore had initiated renovation works at RWS during the COVID-19 pandemic, initially allocating S$4.5 billion ($3.3 billion) for the renovation of non-gaming attractions at the casino resort, which also operates the Universal Studios theme park. With the updated makeover plans, the total budget for the project has now increased to S$6.8 billion ($5 billion), financed through internal resources.
“We are confident that this investment will firmly anchor RWS as the most sought-after tourism destination in Asia, and propel the group’s strong future growth,” Genting Singapore said, as per Forbes’ report.
The company reported a 59% surge in net profit to S$216.3 million in the third quarter, attributed to increased revenues from both gaming and non-gaming activities. Following the strong Q3 earnings, Maybank raised its full-year 2023 net profit estimate by 12% to S$712 million.
Genting Singapore shares have experienced a notable 10.6% increase, reaching S$0.94 in late afternoon trading on Tuesday. The stock market had closed on the previous day due to a public holiday.
