James Packer's Crown delays Sydney casino opening to 2021

Packer has named the controversial Sydney casino complex as his most important global project, but Crown appears increasingly hamstrung by the planning process, which also involves developer Lend Lease submitting a broader proposal for the larger Barangaroo South development.

Crown, 53% owned by Mr Packer, said there was concerns about the schedule.

"Obviously the delay in the planned opening of Crown Sydney is regrettable," Crown chief executive Rowen Craigie said. "We can't lodge our approval until Lend Lease lodge their approval for Barangaroo South and all of that is complicated for a stand-alone project. Progress is being made, but it is self-evident compared to the original planning for opening it is going to be running late."

The new 2021 opening date was a fresh blow for the casino operator after it reported a 35 percent slump in first-half net profit as torrid trading conditions in Macau overshadowed strong growth from its Australian casinos. Mr Craigie hopes he can trim the construction schedule, but admitted the budget for the Sydney complex may rise.

"It is still four to five years away so we will be trying to catch up as much as possible," he said. "The broad answer [on costs] would be yes. Construction costs can rise, but your revenue projections rise as well."

The NSW Department of Planning and Environment confirmed it has yet to receive a formal response from Lend Lease and Crown.

"The department sent draft conditions to Lend Lease on 25 November 2015 and expects a response in the near future," a spokesperson said. Lend Lease was unavailable for comment.

Mr Packer had to pay $100 million up front in 2014 to the NSW government as part of the deal to obtain Sydney's second casino license.

The delay will give incumbent casino operator The Star Entertainment Group a further boost given it will be able to continue its monopoly on the Sydney market for 18 months longer than initially anticipated.