Fashion house Versace will team up with Macau casino company SJM Holdings Ltd. to build a luxury casino resort in Asia’s gambling capital.
The planned five-star Palazzo Versace hotel will offer 2000 rooms and 700 gambling tables. Macau officials approved construction in May, but there are no details on when construction will begin or when the hotel will open. The joint statement from Versace and SJM did not mention the project’s cost.
The Palazzo Versace will rise up on the Cotai Strip, modeled after the famous strip in Las Vegas. Macau is the oldest casino haven in Asia, and the only location in China that allows casinos. Each year, Macau brings in $38 billion in gambling revenues.
Versace may be looking to expose its products to affluent mainland Chinese visitors who provide most of the business in Macau. These consumers already display a liking for high-end Western brands. Versace has a hotel in Australia with another under construction in Dubai.
Las Vegas Sands Corp already has a fancy casino resort on the Cotai Strip, which is a reclaimed estuarine area. SJM is a latecomer on the strip and may be hoping that Versace’s name will help it break into the market.