LVS Expects More Delays in Marina Bay Sands Expansion
Las Vegas Sands Corp (LVS) has revised its timeline for the expansion of Marina Bay Sands (MBS) in Singapore, now projecting that construction will be completed by June 2030, with an expected opening in January 2031. This represents a delay from the previous completion date of July 2029, which had been agreed upon in a revised plan with Singaporean authorities just a month prior.
LISTEN TO THIS ARTICLE:Earlier this year, LVS reached an agreement with the Singapore Tourism Board to modify aspects of the project, including increasing the allocated gaming space. As part of this agreement, the company committed to making a $1 billion payment to Singaporean authorities.
Related: Additional Marina Bay Sands Changes Cost Las Vegas Sands $1 BillionThis agreement builds upon a prior supplemental agreement signed in March 2023. Under these terms, LVS had initially pledged to begin construction by July 8, 2024, with a scheduled completion date of July 8, 2029.
The company reiterated in its 2024 annual report that while the new projected completion date is June 2030, any extension beyond the July 2029 deadline would require approval from the Singapore government. The company's continued engagement with regulatory authorities will play a crucial role in determining whether the project adheres to this updated timeline.
Since announcing its expansion plans in 2019, LVS has committed to investing at least SGD4.5 billion (US$3.3 billion) in MBS. The company has faced multiple deadline extensions related to the start and completion of the project.
Despite these delays, the company continues to make substantial financial investments, including a $963 million upfront lease payment in 2019 for the land underlying the development.
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The financial commitments related to the expansion remain significant. LVS has disclosed that the first installment of the $1 billion payment to the Singapore Tourism Board is expected to be made in the second quarter of 2025. This initial payment will amount to $850 million, with the remaining $150 million scheduled for payment in 2026.
As of the end of 2024, LVS reported that approximately $1.36 billion had already been spent on the MBS expansion. This includes the initial land lease payment made in 2019. The company remains committed to its long-term vision for the property, with total investment in the project now estimated at $8 billion.
The new phase of development, known as "MBS IR2," will introduce a fourth tower featuring over 570 luxury suites, expanded casino space, a 15,000-seat arena, premium retail stores, dining establishments, and extensive facilities for meetings and exhibitions. Additional amenities will include high-end food and beverage options.
The overall cost of the project has increased significantly from its original estimate of $3.3 billion in 2019. The current $8 billion figure includes $4.7 billion in design and construction expenses, $2 billion in land premiums, and $1.3 billion in pre-opening and financing costs. LVS continues to view this investment as a key component of its long-term strategy in Singapore's gaming and tourism industry.
Regulatory approvals will remain a determining factor in the final completion date of the project. Any further delays would require government approval.
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