SkyCity puts Queenstown hotel on hold
As its international business continues to struggle, SkyCity has announced that it will put its plans for a Queenstown luxury hotel on hold.
Australia.- SkyCity operates two casinos in Queenstown and planned to develop a luxury hotel as well. However, the company has announced that it has momentarily dropped those plans.
According to the company’s officials, they will wait until its international business improves. It has been struggling due to the coronavirus and restrictions to Chinese nationals.
Coronavirus’ impact on gaming
Brokerage Sanford C. Bernstein Ltd issued a note on Tuesday in which it said that there is a strong possibility that the casino shutdown order in Macau could extend for another period. This decision is affecting casinos’ finances and it seems like the coronavirus spread will keep affecting them.
Bernstein didn’t specify why there is a strong possibility of an extension of the shutdown order. It also avoided details as to how long the shutdown may last. The current shutdown period is expected to run until February 19.
“[Casino business] forecasts for the near term (1H20) are largely guesses at this time, with the biggest variables being when casinos reopen, and even more importantly, when travel restrictions from China will be lifted,” said Bernstein.