Las Vegas Sands Going Big on Cotai Strip

Las Vegas Sands' (NYSE: LVS  ) next development on the Cotai Strip has new partners and a new name. What was formerly known as Sites 5 and 6 will now be known as Sands Cotai Central. Not exactly inspiring, next to its neighbor City of Dreams, but I guess it's an improvement.

The development will house 6,000 hotel rooms, meeting and convention space, two casinos, dining, retail, and a bunch of other amenities, and it should have a bit of a non-gaming feel to it. Unlike properties by Wynn Resorts (Nasdaq: WYNN  ) , Melco Crown (Nasdaq: MPEL  ) , MGM Resorts (NYSE: MGM  ) , and even other Sands properties that focus on the casino, this is a multi-purpose project. The resort will have twice as many rooms and just more than half as much gaming space as neighbor The Venetian Macau.

The newest companies to join the fray, Hilton Worldwide and IHG (NYSE: IHG  ) , will join Sheraton as partners in the development. Brands for the four towers will include Conrad, Sheraton, Sheraton Towers, and Holiday Inn.

Hopefully, the Holiday Inn Macau is nicer than a few of the Holiday Inns I've stayed at over the years.

Location, location, location
The site of Sands Cotai Central is in the middle of the development on Cotai. The property sits at the center of the Cotai Strip, next to Melco's City of Dreams and between The Venetian Macau and Wynn Resorts and MGM's proposed developments. At the very least, the hotel will be a feeder for the surrounding casinos.

Still dominant
Las Vegas Sands still dominates Macau, and this development -- slated to open in the first quarter of 2012 -- will only solidify that position. Like the convention center in Las Vegas, which complements the gaming business, Sands is adding complementary services that will grow the overall operation.

The good news for competitors is that they're only a step away. Melco Crown is next door, with MGM and Wynn set to join the neighborhood in a few years. They'll take at least some benefit from the added visitation.

It's easy to keep up with all that's going on in gaming by adding your favorite company to My Watchlist.

Fool contributor Travis Hoium does not have a position in any gaming stocks. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.

Motley Fool newsletter services formerly recommended Melco Crown Entertainment. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (3) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On August 11, 2011, at 4:13 PM, Senescent wrote:

    I don't like the name either Travis - sounds a bit too Fertittaush - Cotai Station.

  • Report this Comment On August 11, 2011, at 8:53 PM, Pkylie wrote:

    Once again, the author is shamelessly pumping a company knowing full well there are only about 100 gaming tables left out of Macau's 2013 gaming table cap. What does it mean ?

    It means there are NO gaming tables for Lots#5 and 6. Of course, LVS could move tables from Sands Macau or Venetian Macau to Lots #5 and #6, cannibalizing itself.

    Further if the author had been to Macau , he would know LVS is the most despised gaming operator in Macau.

  • Report this Comment On August 11, 2011, at 10:21 PM, stockpickseven wrote:

    Sounds like someone didnot get into LVS and is short. Good luck betting against LVS, it is in a sweet spot in Asia and will make gobbs of money even if some didnot get on the money train.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1537847, ~/Articles/ArticleHandler.aspx, 9/22/2014 6:34:23 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement