Wynn Pumps Up Its Budget for Wynn Al Marjan Island

Casino and hospitality giant Wynn Resorts has opted to increase its investment in Wynn Al Marjan Island, its upcoming property in the United Arab Emirates. This announcement comes shortly after the company secured the first commercial gaming license in the region.

The Company Just Secured The First Local License

Wynn Al Marjan Island is set to be a luxurious integrated resort in Ras Al Khaimah. The company had initially planned to invest $3.9 billion in its development but has now increased the budget by 31% to $5.1 billion.

The increased budget was confirmed in an investor presentation published on October 8. The publication came shortly after the UAE’s General Commercial Gaming Regulatory Authority (GCGRA) handed the company its inaugural commercial gaming license.

The revised budget, according to Wynn, includes fees and interest. The construction itself is expected to cost approximately $4.55 billion. A significant part of the project will be funded via $2.4 billion of debt.

If everything goes according to plan, Wynn Al Marjan Island should open in 2027.

Wynn Remains Bullish on the UAE

Wynn has been bullish on the UAE, trusting in the tremendous potential of the local gaming market. According to Morgan Stanley estimates, the local market could potentially generate between $3 and $5 billion in annual gross gaming revenue.

The exact sum would ultimately depend on the number of resorts that are allowed to open and whether locals are permitted to engage in gambling too. MGM officials previously said that they believe the UAE would allow up to four such resorts, while Wynn expects there to be three.

In any case, Wynn Al Marjan itself is expected to generate approximately $1.4 billion in GGR a year. In addition, the resort is expected to attract many non-gaming tourists too, considering the UAE’s status as a luxury travel destination and the property’s proximity to the Ras Al Khaimah International Airport.

Wynn Targets International Growth

Wynn Al Marjan, for context, is a joint venture by Wynn and RAK Hospitality Holding LLC and Al Marjan Island LLC. The operator has already purchased additional land in the emirate and is making plans to scale its local business.

The new resort aligns with the company’s strategy to target VIP consumers across multiple markets internationally.

Earlier this year, Wynn confirmed that it is interested in Thailand, which was mulling over a potential legalization of integrated resorts.