South Korea to invest $1.85 million to secure Kangwon Land's competitiveness
The Korean government announced a massive expansion of the Kangwon Land Casino Resort. The state-owned property will be remodeled to triple the area of its casino floors to welcome more guests.
Currently covering 167,000 square feet, Kangwon Land's gaming district will be expanded to about 533,000 square feet. In addition, the $1.85 billion expansion will result in the construction of a new hotel and new convention space, allowing Kangwon Land to accommodate more visitors and host international gatherings.
The expansion also includes creating new wellness centers in nearby forests and launching new local attractions.
The expansion comes as more Asian countries begin to challenge Korea's casino industry. Kangwon Land and the country's foreigner-only casinos enjoyed a period of calm during the temporary decline of Macau games and crackdowns on junket operators in special administrative districts. However, Thailand's desire to start Japanese resort and casino games is likely to cause even fiercer competition.
South Korea Wary Of Japan's Upcoming Consolidated Resort
Located in the same province as Gangwon Province, Kangwon Land is the only casino in Korea that accepts local players. The property boasts about 1,000 slots and 100 game tables, allowing hundreds of players to enjoy gambling at the same time. In addition, Kangwon Land has about 700 hotel rooms for guests. Nevertheless, finding a seat has been getting harder over the past few years.
While Kangwon Land, originally established in 1998, is the only casino in Korea that locals can visit, the launch of MGM Resort in Osaka will ruin the balance of power. Considering that Japan is close to Korea, local customers may be tempted to visit the Osaka Casino instead.
According to the government, the expansion of Kangwon Land is a precautionary measure to guarantee its appeal to local consumers. Since MGM's resorts in Japan will not open before 2029, a Korean operator has enough time to strengthen its offerings.
Nevertheless, the renovation that the government is planning is also likely to take years. Because of that, until the construction of the additional facilities begins, the government will open a temporary expansion casino.
The $1.85 billion investment is the largest investment in this property since its opening.
Besides casinos in other Asian countries, Kangwon Land will also have to compete with Mohegan Inspire Entertainment Resort, which has recently come equipped with new solutions to understand guests on a personal level.