SJM Exec Talks Cotai and Oceanus
MacauBusiness has an interesting interview with SJM Director Ambrose So, who is also the Chairman of Ponte 16. One little interesting detail, So spills the congee about what SJM owns in Cotai and how they're planning to position their product.
MacauBusiness: SJM will have also a presence in Cotai. At least a small corner within the Macao Studio City property was secured for SJM. What are you going to build there?
Ambrose So : In Cotai we will wait and see. As you know Cotai is developing into a new type of market, conventions, exhibitions, because they want to retain more customers.
We have, comparatively, a small plot of land in Cotai, in a strategic area: one sits in frong of the exhibition hall of The Venetian and the other one is near the Dome.
We will act as a collector of the people that visit the Venetian and so on. We will build a very comprehensive place where once can get the whole spectrum of entertainment in a small building. We will be able to pick market [share] from them.
People are now developing the market in Cotai and if we see this is a successful story, we will start building our Cotai lots there to pick up business there.
MB: Any time frame yet or is it still too early?
Ambrose So : It is still too early. It is really yet to be seen how Cotai develops.
MB: Does the second piece of land belong to SJM or do you have partnerships with other investors?
Ambrose So : It is soley SJM's.
SJM's strategy of carving out a little chunk of Venetian convention center adjacent Macao Studio City in the hopes of gaining market share from non-existent walk-ins is sheer lunacy.
The area I presume they're speaking about, is at the intersection of Venetian/Galaxy Megaresort/Macao Studio City and the bog. The only foot traffic coming from the Venetian at that location is the employee entrance by the ramp that heads up to the convention center loading dock. In this location, the SJM casino is going to function more like a Casino Royale or O'Shea's... pulling in chump change as folks walk from the Galaxy Megaresort to Macao Studio City and vice versa. Crumbs that fall from a bag of potato chips are not equivalent to feeding a proper meal to the family dog. Who knows, maybe SJM has grand plans to become the 'Stations Casinos' of Macau, preying on locals paychecks.
The second property Mr. So mentioned is obviously the plot we have labeled as ShunTak on the Cotai Map.
MacauBusiness: Regarding the Oceanus project, when can we expect that property to advance? Ambrose So: I think within two years time you can expect a new total package of the Yaohan building and also the Jai Alai building. This is very important establisment for us because we can also catch our clients at an entry point.
In case you didn't know, Yaohan is a department store wedged between Avenida de Amizade at Sands Macao (south), Casino Golden Dragon (west) and Casino JaiAlai(north). Here's our earlier posts about Oceanus.