International casino developer Wynn Resorts Ltd has announced that it and its partners for the Wynn Al Marjan Island resort project in the United Arab Emirates (UAE) have collectively secured a US$2.4-billion construction loan facility. It is from a global syndicate of lenders to finance the development of the property.
Wynn Resorts’ local partners for Wynn Al Marjan Island (pictured in an artist’s rendering) are Marjan LLC and RAK Hospitality Holding LLC. The U.S.-based gaming operator has a 40-percent stake in the project.
The casino resort site is located 50 minutes from Dubai International Airport in the emirate of Ras Al Khaimah.
The secured term loan facility, made available to Wynn Al Marjan Island FZ-LLC – a subsidiary of the joint venture promoting the project – is denominated in a combination of United Arab Emirates dirhams and U.S. dollars, “reflecting the bulk of the expected development expenditures to be incurred in United Arab Emirates dirhams,” according to a press release issued on Thursday by Wynn Resorts.
The term of the loan is seven years, “at a competitive market interest rate,” and is structured as a delayed draw facility, “which provides significant financial flexibility to the joint venture partners,” Wynn Resorts said.
According to the firm, the facility “represents the largest hospitality financing transaction in the history of the United Arab Emirates.”
The bank syndicate includes a mix of regional and international lenders, with Abu Dhabi Commercial Bank PJSC and Deutsche Bank AG acting as joint coordinators of the financing.
Wynn Resorts is the parent company of Macau casino operator Wynn Macau Ltd. It also operates gaming properties in the United States.
Wynn Resorts stated that project construction was “proceeding well,” with 64 percent of the structural concrete completed up to the 34th floor of the main resort tower and elevator cores extending to the 36th floor.
It added: “The construction team is completing one floor per week, working toward a topping-off in December of this year.”
Wynn Resorts’ subsidiary Wynn Design and Development is overseeing the project’s design and development.
The resort will feature 1,542 rooms and suites, according to the developers. “To date, 1,226 guest rooms in the tower structure have been completed, or 80 percent of the total,” said Wynn Resorts. “Fit-out is underway in approximately 1,121 rooms, including walls, floors, and ceilings, as well as all mechanical, electrical, and plumbing services.”
In an October update, Wynn Resorts said it would have an exclusive, renewable 15-year casino licence for Ras Al Khaimah, and that the property could generate a minimum of US$1.33 billion annually in gross gaming revenue (GGR).
The local gaming licence for the Wynn Al Marjan Island complex was confirmed in an October statement from the casino firm.
Once completed – which is currently forecast to happen in 2027, according to the promoters – Wynn Al Marjan Island will have 22 restaurants, lounges, and bars, as well as a nightclub and beach club. It will include a shopping promenade, spa, and salon facilities. The resort will also offer space for meetings and events.
According to Wynn Resorts, a new resident show is being created specifically for the property.
