The second large-scale casino in Uruguay took a giant step forward, as there was a call for an international public tender to help fund and secure operations for the new luxury hotel in Punta del Este. This comes just five months after it was announced that Cipriani would be opening a luxury hotel and club in the coastal town.
Last month, Tabaré Vázquez, the president of Uruguay, officially signed a resolution that sought to determine the feasibility of opening the new casino. This plan already received a favorable report from the Ministry of Economy and Finance and Tourism back in June. At that time, Cipriani pledged $450 million toward the development of the new project.
According to the plan, the resort was to be included as part of the San Rafael Hotel, a Tudor-style landmark structure which has become all but useless due to a lack of care. The plan was to at least partially restore the hotel while adding new building structures to be part of a new a resort-casino.
In a statement released at the time, the ministry stated that the new project “will include the faithful reconstruction of the emblematic San Rafael Hotel, preserving the original design and complementing it with beautiful residences, restaurants, spa, pools, casino, theatre, boutiques, and a serviced beach club. Historic heritage, modern sensibility, and taste for timeless luxury will deliver the most unique experience in Punta del Este.”
Currently, there are three casinos in operation in the coastal town. This will likely mean that it will be tough competition for Cipriani, but none will match the size or stature of the new project. In fact, it is expected that there will be 164 suites in the new hotel which will include 70 built into the original San Rafael structure. That should make for an incredibly alluring facility that will also host to 75 table games and at least 550 slot machines.
Moving forward, the Ministry of Tourism and Economy will now be looking for bids from those who would like to operate the casino complex. The license can only be granted through a bidding process which must be initiated by an executive of the company or through another form of a private proposal submitted to the government.
It is also expected that any bidder on the license would submit at least $160 million toward their investment. They would be required to pay an annual fee to the government which would be based upon the total gross revenue made by the casino. The license duration would be for 20 years and all interested in bidding on the license are required to submit their proposal by January 20.
Source: CalvinAyre
