Sands’ Launches Sale of Four Seasons Macau
Las Vegas Sands (LVS: 50.87 -0.35%) has settled a dispute with the Macau Government to launch the sale of the Four Seasons apartment hotel tower on the Cotai Strip.
In October 2007, the casino operator announced that they would sell serviced apartments at the luxury Venetian Macau resort to be used as “holiday homes”.
Meanwhile Lawmaker Au Kam San argued that the “Venetian acquired this piece of land at an almost negligible cost. If it is allowed to go ahead with the sale of serviced apartments, which will definitely command good prices, it would be a flagrant example of profiteering”.
Au Kam San expressed concern that other developers would follow suit and trigger a flood of serviced apartments onto the market.
The land lease signed by Sands and the Macau government states that the Cotai Strip site is to be used solely for the development of gaming and hospitality projects, prohibiting the sale of apartments.
However, according to an announcement made by Sheldon Adelson at the Deutsche Bank 2010 Hospitality and Gaming Conference, the Macau government has agreed to let Sands sell the units in a cooperative form of ownership.
“We want to sell the apartments just to players who lock in their loyalty to where they own their apartment,’’ Adelson said, “If we proceed in selling co-ops, I believe that the future and the perception of our company will change for the better, dramatically.”
Michael Leven chief operating officer said at the Reuters Travel and Leisure Summit that the co-op sales would bring in more than $1 billion.