Hellenic Gaming Commission Solicits Hellinikon Project Applicants
The Hellenic Gaming Commission called for casino companies to submit tenders for a 30-year license to operate the €8 billion Hellinikon mega-resort. The call by the HGC was published in the Official Journal of the European Union on Friday.
The deadline to submit licenses to the Hellenic Gaming Commission is until 11 am GMT+2 on April 22, 2019. That gives big international casino groups roughly 2 months to submit a bid on the largest integrated casino resort in Europe. The Hellinikon resort’s gaming space is expected to be approximately 15,000 square meters.
To qualify for consideration, the license holder would need to invest a minimum of €1 billion in the Hellinikon facility, which already is being built near the Hellinikon airport. Any resort development plan must include a gaming floor, conference center, and accommodation facility (hotel).
The Hellenic Gaming Commission did not reveal when it would announce the winner of the bidding process. If the application process follows the standard pattern, readers can expect to hear an announcement late in 2019.
Qualifications for Hellinikon Casino License
Gaming companies with experience operating hotel-resorts are the only entities which need apply. The Hellenic Gaming Commission set down several parameters for potential license winners, including experience with casinos, hotels, and convention center — or an entertainment arena (either sports or live shows).
The license application must have operated a land-based casino with no fewer than 100 gaming tables and no less than 500 slot machines. The applicant also must have operated a 5-star hotel with at least 800 hotel rooms.
Also, the integrated resort owner must have operated a 7,500 square meters event center, convention center, indoor sports arena, or concert venue. If any one of these four qualifications are met, then the casino company will be allowed to submit an application. In short, the license applicants must have ran a multi-billion dollar integrated resort before.
Financial Requirements for Greek Casino
A few other financial qualifications must be met. The company must have had a operating capital of €200 million over the last three years. Also, its annual revenue must have been at least €400 million over the same time period.
Furthermore, the Greek government does not want a hastily scrabbled-together holding company to submit a bid. Investment groups must have held funds totaling or exceeding €400 million in the license applicant over the last 3 years.
The winner of the application process will need to pay a upfront consideration of €30 million. Ten percent or €3 million must be paid to the contractor in the first installment, up until the license date. The remaining 90% or upfront consideration of €27 million must be paid on the fulfillment of the conditions of the contract.
The Wider Hellenikon Resort Complex
Already, the Greek construction firm, Lamda Development, has been chosen as the resort builder. Previously, a consortium of domestic and foreign companies — the Latsis Group, the Chinese conglomerate Fosun Group, and Abu Dhabi’s Eagle Hills Group — have joined forces to fund the remaining €7 billion-plus construction of the Hellinikon project.
The non-casino resort side of the project is massive. The €7 billion project includes residential areas, luxury hotels, and retail areas. The Hellenikon project also has multiple food and beverage facilities, along with a food court.
Beyond the retail, leisure, and gaming parts of the Hellinikon, the complex will include museums, family entertainment facilities (theaters, waterparks), sports and recreation spaces, and cultural venues. If completed as designed, Hellenikon will be a landmark gaming and leisure experience.