Chief executive Bill Hornbuckle said MGM filed its UAE casino licence application in Abu Dhabi during a keynote at the Skift Global Forum in New York yesterday (19 September) .
“The way it will work, the federal government, the Abu Dhabi government, will approve it,” Hornbuckle explained. “We’ve applied for something there and hopefully will win something there. Then each ruler will has their say. It’s like a state, where each state says yes or no.”
“I hope and believe we’ll hear more from Abu Dhabi later this year about the federal mandate and federal oversight.”
MGM Resorts has longstanding UAE gaming connections
“We actually have a long history with the region,” he told Skift senior hospitality editor Sean O’Neill during an on-stage interview. “We worked with a group called Dubai World, which was partnered with us in CityCenter, [so] we know the region, and we know a lot of them layers.”
Dubai World and MGM Resorts agreed a 50-50 joint venture to construct CityCenter on the Las Vegas Strip in 2007. The development incudes the Aria Casino Resort, Vdara hotel and the residential Veer Towers.
In 2021 MGM paid $2.1bn to buy Dubai World’s stake in the JV. It then sold the Aria and Vdara real estate to Blackstone in a $3.89bn deal that year.
MGM Resorts already has a UAE property under development in Dubai. It partnered with Hospitality and Leisure in 2017 to advise on a luxury resort development on Jumeirah Beach. This will feature the MGM, Bellagio and Aria brands and 1,500 hotel rooms.
“It has several podiums in it, which if Dubai wants gaming, could accommodate that,” Hornbuckle said at the Skift conference. Whether that happens remains to be seen, however. “Dubai has not opined on [gaming] yet,” he said. “I hope and believe we’ll hear more from Abu Dhabi later this year about the federal mandate and federal oversight, and we’ll go from there.”
Speaking to iGB at ICE London this year Hornbuckle said while MGM Resorts had boots on the ground in Dubai since 2015, it was interested in developing an Abu Dhabi gaming resort. “As the capital it feels as if it might go first,” he said.
UAE gaming could unlock a global audience
Gaming will remain off-limits for Emiratis, Hornbuckle noted. However, between 80% to 90% of the UAE’s population is made up of expats.
“It’s a huge travel market,” Hornbuckle said. “Dubai airport is one of the largest airports, and I think it will be the biggest in the world.”
The UAE is a huge market for India, other Middle Eastern countries and Chinese tourists coming to Dubai. “We’re excited by what it presents and we hope to be there.”
Wynn waits in the wings for UAE casino licence
While Abu Dhabi’s resort plans are in their infancy, Wynn Resorts’ property in Ras Al-Khaimah is already under construction and awaiting its casino licence from the General Commercial Gaming Regulatory Authority.
To date the federal regulator has only issued a licence to operate the UAE Lottery, to a business called The Game LLC, disappointing established local lottery operators Emirates Draw and Mahzooz.
The GCGRA board of directors has visited Wynn Al Marjan Island, but there there have been no updates on its licence. The property is scheduled to open in 2027. “I assume that they will be moving forward to the next step in our licensure,” Wynn CEO Craig Billings said following the operator’s Q2 2024 results announcement in August. “I don’t have a specific timeline for you, but you can see all the momentum that’s happening there.”
Original article: https://igamingbusiness.com/casino/property-development/mgm-uae-casino-licence/
