South Korean Kangwon Land Casino plans a $ 1.2 billion expansion

Kangwon Land’s status as a major Asian casino is threatened by gaming centers across Asia. A total of 3.4 million people visited the casino, located in Jeongseon, Gangwon, last year, spending around us$ 968 million. That’s more than the combined number of visitors and sales recorded last year at all of Korean other 16 casinos.

At its current size, however, Kangwon Land qualifies only as a mid-sized casino, and the operator says it has become too cramped. “There have been many complaints from customers that the casino is too small,” said Choi. “We will provide comfortable service by expanding it.” The expansion is part of a plan to renovate the entire Kangwon Land resort.

Choi said a total of 117 billion will be spent by 2012 on the overhaul of Kangwon Land, which also includes hotels, a golf course, a ski slope, condominiums and a theme park.

The investments will boost the number of annual visitors to the resort to 7 million by 2012, Choi said. The renovation includes construction of a 500-room condominium and a 22-story hotel with a convention center. Choi added that the new facilities will strengthen the competitiveness of the resort in the face of challenges from inside Korea and out.

A temporary tax break given to Kangwon Land in recognition for reviving the economy of the region, which is dotted with closed mines, will expire in 2015. Its status as a major Asian casino is also threatened by the rapid growth of the gaming industry in other Asian locales.

Kangwon Land Casino claims it is the largest individual casino in Asia in terms of number of visitors. There are around 130 casinos located in Asia, including dozens in Macau. “The expiration of the special mine law in 2015 and deepening competition within the Asian casino industry has made it essential for us to establish a vision to become Asia’s best four-season resort,” said Choi.