South Korea invites foreign casino investors

South Korea invites foreign casino investors

Korea Land Corp., operated by the government, signed a memorandum of understanding with real estate company HRH Construction Corp., which represents the interests of a U.S. delegation to Korea. The agreement, which gives the green light to investing $3 billion in Korean property, may result in attracting more foreign gambling operators.                 

According to Korea Herald, cited by Casinocitytimes.com, HRH is looking to build the project, which includes casinos, theme parks, convention centres, golf courses and hotels in Korea's three free-economic zones - Incheon, Busan and Gwangyang. These locations are favourable for investors due to the system that offers tax incentives, low rent on land and eased labour regulations.

The second U.S. investment mission to Korea, which will examine possible development sites, is expected to bring new casino-related agreements. Many renowned operators hope to visit the country, for example Las Vegas-based casino and hotel operator MGM Mirage, Universal Parks & Resorts, Busch Entertainment Corp. and Starwood Hotels & Resorts.

"'The U.S. investors found Korea a very attractive investment destination. They informally expressed their interest to even expand their investment, given supportive Korean government policies,” said ruling Uri Party lawmaker Yum Dong-yun, who received the U.S. delegation last month.

Korean gambling market, which has 14 casinos with only one casino available for Koreans, hasn’t been tapped by any foreign investor. At the same time, the country, which has no grand-scale resort similar to La Vegas, can serve as entertainment centre for about 400 million people from China and Japan, who are three hours away from Korea by plane. 

See more on RealEstateGates.com