American tribal casino operator Mohegan Gaming and Entertainment has announced the securing of approximately $1.55 billion in aggregate financing that will allow it to complete work on the first phase of its coming Inspire Entertainment Resort development.
The enterprise of the United States’ federally-recognized Mohegan Tribe used an official Monday press release to detail that this significant accomplishment means it should now be able to open the initial stage of the three-tower facility in South Korea by the end of 2023.
Mohegan Gaming and Entertainment began work on the coming Inspire Entertainment Resort in 2016 and had initially planned to have the first phase of the giant venue open by the middle of next year. However, this timeline was subsequently scuppered by the impact of the coronavirus pandemic and the complexities associated with securing adequate sources of funding.
Nevertheless, the casino company has now explained that its Inspire Integrated Resort Company Limited subordinate has secured around $275 million in funding for the envisioned 1,200-room property via private equity firms MBK Partners and Bain Capital as well as in the region of $890 million from a consortium encompassing NH Investment and Securities, KB Securities and Hana Financial Investment. The Connecticut-based operator noted that it is investing roughly $300 million of its own cash into the South Korean endeavor and has also obtained about $85.5 million in backing from the project’s general contractor, Hanwha Engineering and Construction Corporation.
Being built on a 1,079-acre plot of Yeongjong Island land near the port city of Incheon, the five-star Inspire Entertainment Resort is expected to eventually feature a 215,200 sq ft foreigner-only casino offering a selection of up to 1,500 slots alongside some 250 gaming tables. All of this is to purportedly be complemented by a 15,000-seat arena, 678,000 sq ft of retail, dining and entertainment space, a 24-acre amusement park and a 204,000 sq ft convention center.
James Gessner serves as Chairman for the Mohegan Tribe and he used the press release to proclaim that Mohegan Gaming and Entertainment has ‘a proven track record’ when it comes to building and running integrated casino resorts across North America. He furthermore proclaimed that he is now hopeful of ‘taking this success abroad’ by premiering the operator’s inaugural property outside of the United States and Canada.
For his part and Bobby Soper, International President for Mohegan Gaming and Entertainment, pronounced that his company’s Inspire Entertainment Resort is destined to be ‘the largest integrated casino resort in northeast Asia once completed’ and will be able to take advantage of ‘a significant rebound in the tourism and leisure industry’ once the range of international travel restrictions instituted in response to the ongoing coronavirus pandemic are eventually lifted.
Read a statement from Soper…
“We look forward to contributing to the South Korean economy while at the same time opening and operating a successful and state-of-the-art resort. I’m thrilled to see our international vision for integrated casino resort development reach this important milestone.”