By Jung Min-ho
A consortium of U.S. casino operator Mohegan Tribal Gaming Authority (MTGA) and Korean chemicals maker KCC Corp. has been selected to build an integrated casino resort on Yeongjong Island near Incheon International Airport.
Over the next four years, the two companies will spend 1.54 trillion won ($1.24 billion) to build the Inspire Integrated Resort, which will house casinos, a hotel, amusement park, healthcare facilities and shopping centers, the Ministry of Culture, Sports and Tourism said Friday.
Construction is expected to be finished by 2019 and the resort, whose gross floor area 405,150 square meters, is expected to open around 2020.
The ministry believes the resort will play a vital role in boosting the region’s tourism industry because it is only about two hours away from both Beijing and Shanghai. The ministry hopes that it will draw Chinese gamblers from Macau, the world’s largest gambling hub.
The Inspire Integrated Resort will be the third casino resort on Yeongjong Island, where two others are currently under construction.
But the ministry said the gambling venue will be limited to less than 5 percent of the resort’s total gross floor area and Korean nationals will not be allowed.
In November, six companies submitted proposals in three regions: four on Yeongjong Island; one in Yeosu, a southwestern port city; and the other in Jinhae, a southeastern port city.
But only two bidders met the investment qualification of a minimum outlay of 1 trillion won, in which at least $500 million comes from foreign investors.
Korea has 17 casinos with only one open to locals ― Kangwon Land in Gangwon Province ― but most are considered far too small to compete with Macau and Las Vegas, the world’s two biggest casino cities.