Melco Crown Entertainment has said that the opening of its Studio City project is on course for mid-2015.
Studio City International Holdings, the developer of Studio City, increased the Studio City construction budget (including construction and fit out costs, design and consultant fees) by approximately US$300 million from approximately US$2bn to approximately US$2.3bn. The shareholders of SCH have agreed to make available additional equity on a pro rata basis to partially fund such budget increase.
It is anticipated that the remaining amount of such budget increase will be paid for out of previously funded equity commitments from such shareholders. The total development cost of the project will continue to be funded by a combination of equity contributions from shareholders, proceeds from the Studio City senior notes and project loan.
Lawrence Ho, Co-Chairman and Chief Executive Officer of Melco Crown Entertainment, said: “We are extremely excited about our newest integrated resort in Macau, which remains firmly on track to open in mid-2015. The property’s cinematic theme and vast array of unique entertainment and attractions will enhance Macau’s appeal as a leading tourist destination in Asia. Studio City’s prime location directly adjacent to the Lotus Bridge immigration border and proposed light rail stop is one of the property’s key competitive advantages given the anticipated growth and widespread development plan for Hengqin Island. We look forward to working closely with the Macau government to bring this unique property to realisation.”