Wynn to Contribute up to $50 Million to New Project Near UAE Casino
The joint ventures that own Wynn Al Marjan Island in Ras Al Khaimah, United Arab Emirates (UAE), have decided to build a new upscale hotel close to Wynn Resorts' (NASDAQ: WYNN) casino resort.
The resort development, headed by Aman Group, will take place on Wynn's land bank in the emirate and be called Janu Al Marjan Island. The Las Vegas-based casino operator has contributed a tiny sum of money to the project, and the property is set to open in 2028.
“Given the recent success of condo sales in the UAE in general and Ras Al Khaimah in particular, we anticipate our portion of the equity check for the project will be quite small, about $25 million to $50 million,” said CEO Craig Billings on Wynn’s third-quarter earnings conference call last week. “Beyond the standalone merits of the transaction, we also expect Janu’s high-quality customers will be additive to Wynn Al Marjan Island.”
Just a few floors away from completion, the $5.1 billion Wynn Al Marjan Island is expected to open in early 2027.
Details of Janu Al Marjan Island
Billings noted Wynn's additional UAE property holdings during the operator's second-quarter results conference call, adding that plans for the land might be unveiled within the next year.
Given its high value and proximity to some of the world's most active real estate markets, Janu Al Marjan Island presents a chance for the joint venture partners to realize some of the land's potential.
“The hotel will feature 132 rooms with stunning views of the Arabian Gulf. Consistent with the Janu experience, the hotel will offer a Janu Wellness center including a yoga studio, gym, banya, and hammam,” according to a statement. “A Mixology Bar, two distinct restaurants, a vibrant nightlife venue, and a dedicated Kids’ Club will be part of the guest experience. Janu’s private beach will provide residents and guests seamless access to the water alongside a Beach Club and pool.”
A limited quantity of freestanding villas and Janu apartments with one to five bedrooms will also be available on Janu Al Marjan Island.
Is a Casino in the Cards at Janu Al Marjan Island?
It looks like Janu Al Marjan Island will start life as a nongaming establishment, despite speculation that Wynn would eventually obtain a second casino license in the United Arab Emirates.
Wynn doesn't need to push for another casino permit because Wynn Al Marjan Island is expected to enjoy a multiyear monopoly when it opens in 2027, so it's not unexpected that UAE gaming regulators are taking a practical approach to issuing further casino permits. The casino resort may also use Janu as a feeder property.
“Beyond the standalone merits of the transaction, we also expect Janu’s high-quality customers will be additive to Wynn Al Marjan Island,” said Billings on the call. “With the Marjan land bank, we have significant additional long-term development opportunities in the UAE.”
