Change of Plan: Wynn Postpones $5bn Mega-Resort Opening

Summary:

• Wynn Al Marjan Island will now open in September 2027, later than its previously planned date.
• The project’s budget has increased by $600 million.
• Wynn is confident the resort will become one of the world’s most significant luxury openings.

Wynn Resorts will not be able to go ahead with its initial plans to open its highly anticipated Wynn Al Marjan Island integrated resort in the United Arab Emirates until September 2027.

The company blamed the delay on the ongoing regional geopolitical tensions that have forced construction to be disrupted as well as higher costs.

No Spring Debut

Wynn CEO Craig Billings announced the new timeline during the company’s second-quarter earnings call. The resort had originally said it would usher in its first guests in spring 2027, but the company now says the new challenges have extended the construction schedule.

Billings explained that the project’s total cost has went up by roughly $600 million, which brought the investment to well over $5 billion.

About half of the increase is directly connected to the effects of the conflict in the Persian Gulf, including higher shipping expenses, increased material costs, insurance market disruptions, and additional financing costs associated with the longer construction period.

Wynn also faced a series of logistical issues relate to the movement of specialized staff, consultants, and critical construction materials, as equipment had to be rerouted or expedited to keep the project running.

“What We’re Building Is One-of-a-Kind”

Despite the delays, Wynn says the Wynn Al Marjan Island construction continues at a rapid pace, with pre-opening hiring and operational planning already underway.

“What we’re building is one-of-a-kind“, Billings said, adding that Wynn still expects the property to become “the most exciting resort opening globally in over a decade“.

Billings explained that the month of September was intentionally chosen as it coincides with the start of the UAE’s peak tourism season, which would allow the new resort to benefit from both regional and international demand.

Located on Al Marjan Island in Ras Al Khaimah, the resort is expected to become the UAE’s first casino resort, featuring luxury accommodations, entertainment, dining, convention facilities, and gaming, pending the country’s evolving regulatory framework.

During the earnings call, Wynn also highlighted solid performances across its existing portfolio. The company’s Las Vegas operations reported $215 million in adjusted earnings during the second quarter, while Encore Boston Harbor posted record second-quarter hotel revenue.

In Macau, Wynn reported strong mass-market gaming volumes and confirmed plans to begin construction on new expansion projects, including the Enclave all-suite hotel and a new event center at Wynn Palace.