While corks were popping at SJM HQ, crosstown rival Melco Crown Entertainment was busy announcing it had secured financing for its own Cotai project, Studio City. Studio City Company Ltd. (SCC) – which is 60% owned by Melco Crown, the joint venture of Lawrence Ho’s Melco International Development Ltd. and James Packer’s Crown Ltd. – says it has entered into a commitment letter with a group of mandated lead arrangers for US $1.4b senior secured credit facilities. Ho said the deal “represents an important landmark” in ensuring Studio City opens on schedule sometime in mid-2015. Assuming the Macau government plays ball, Studio City will feature 1,600 hotel rooms, up to 500 gaming tables and over 1,500 slots.
Both SJM and Melco Crown should factor in extra security costs, based on what their Cotai competitors are experiencing. The Macau Daily Times reported that Sands China’s Sands Cotai Central was the victim of a burglar(s) who made off with the copper taps from 73 of the facility’s fire hoses. The total value of the purloined property was estimated at 210k patacas ($26.3k). Meanwhile, police are keeping a sharp eye on the city’s mass-market baccarat tables, looking for anyone trying to place wagers entirely in crudely stamped pennies.