Universal Entertainment Corporation cancels proposed Okada Manila land sale
In the Philippines and the owner of the giant Okada Manila casino resort has reportedly announced the termination of a deal that was to have seen it sell an adjacent nine-acre plot of land for approximately $271.6 million.
According to a report from GGRAsia, Universal Entertainment Corporation used an official Tuesday filing to explain that it took the decision after the unnamed buyer formally applied for permission to extend the proposed transaction’s settlement date beyond today’s deadline. The source detailed that the Japanese firm also stated that it is now open to ‘new enquiries’ regarding the waterfront parcel and soon hopes to start ‘negotiations with other buyers’.
Budding beneficiaries:
The $2.3 billion Okada Manila opened on a 110-acre parcel of land in the Entertainment City district of metropolitan Manila at the end of 2016 complete with a 993-room hotel and a 284,283 sq ft casino offering a selection of over 3,000 slots and almost 500 gaming tables. Tokyo-listed Universal Entertainment Corporation reportedly divulged that its Eagle I Landholdings Incorporated enterprise has since received ‘new enquiries’ from other unidentified parties concerning the land and will be looking to collaborate with a third-party in hopes of enticing ‘major brand hotels’ to the Philippines site.
Terminal request:
Universal Entertainment Corporation is moreover a major manufacturer of Japanese pachinko, slot and arcade games and reportedly disclosed that it had been eager to conclude the agreement signed in February of last year so as to offload the parcel located next door to its 15-story Okada Manila development. However, it purportedly proclaimed that it was forced to cancel the arrangement after the nameless buyer insisted on making ‘changes to the existing land sale agreement.’
Coronavirus concern:
Business at the five-star Okada Manila has reportedly been severely impacted by temporary shutterings and severe capacity restrictions tied to the ongoing coronavirus pandemic and recorded a drop of 58.6% year-on-year in net sales through the first nine months of 2020 to around $196.32 million. This dire situation was purportedly further exacerbated on Saturday when Philippines President Rodrigo Duterte responded to a rise in new infections by implementing his latest week-long closure order to Sunday covering every one of the capital city’s casinos.
Reportedly read the filing from Universal Entertainment Corporation…
“In response to the new threat of coronavirus variants as well as the spread of coronavirus, the Philippine government decided to continue restricting entry of foreign nationals into the country and it was difficult to negotiate the extension of the settlement period as there was no prospect of resuming economic activities in the future.”