This was published 4 years ago
Crown vows to open Barangaroo casino before decision on licence
By Alexandra Smith and Megan Gorrey
Crown Resorts will push ahead with opening gaming floors in its Barangaroo casino in less than two months, despite evidence before a regulator's inquiry casting serious doubt over its future operating conditions.
James Packer's casino giant is planning a "soft opening" of its gaming facilities, some restaurants and the hotel at its $2.2 billion tower in Sydney from December 14, once the building is handed over to operators on December 7.
Crown's 75-storey casino tower - Sydney's tallest building - dominates the Barangaroo skyline. Credit: Wolter Peeters
A spokesman for the NSW Independent Liquor and Gaming Authority said it was closely monitoring evidence aired at the inquiry into Crown's suitability to hold a casino licence in Sydney.
"We respect the inquiry's independence and do not wish to pre-empt its findings," the spokesman said.
The inquiry – triggered by a series of reports by The Sydney Morning Herald, The Age and 60 Minutes last year about Crown's junket partners, its failure to stop money laundering at its Melbourne and Perth casinos and how it put its staff in danger of arrest in China – is due to report in February.
However, it remains open to the inquiry's commissioner to hand down an interim report ahead of its final report, which might include recommendations for the government on its licence.
Crown's casino site overlooks Central Barangaroo, where construction is forging ahead on a new metro station.Credit: Wolter Peeters
Otherwise, if the government wanted to change the casino's licence conditions, including the opening date, legislation would be required.
Despite a week of extraordinary evidence before the probity inquiry's Commissioner Patricia Bergin, Crown Resorts chairwoman Helen Coonan insists the casino will open in December – despite a scarcity of international tourists – and says the 75-storey tower is "not going to be a white elephant".
"The facility is much more than about gaming, it's about restaurants, it's about public access to certain parts, the observation deck, conference centres. Obviously you don't open a facility if you don't think it will be financially viable," she said.
When asked last week whether Crown should be able to open its gaming facilities before any decision was made on its licence, NSW Premier Gladys Berejiklian said she didn't want "to pre-empt anything".
"At the appropriate time the government would get advice and act according to that advice."
Meanwhile, the state government is forging ahead with plans to complete the final section of the Barangaroo foreshore.
Central Barangaroo, being built by Chinese-backed developer Aqualand, is planned as a low-rise residential and commercial "bridge" between the headland park and the more intensive commercial section of the precinct.
Aqualand chief executive John Carfi said he expected Crown could still operate its luxury hotel and restaurants in the event it lost its casino licence.
"You would think that if it was inevitable they lost their licence – and I don't think it is – you would need to have something down there to draw the crowds, whether it's some kind of entertainment, to get some foot traffic."
Mr Carfi said Central Barangaroo would include a large, high-end flagship store opposite the casino and a retail centre, connecting to the new underground metro station, that will be run by Westfield operator Scentre Group.
"In terms of our development, I think the thing that would mostly be affected would be the retail," he said.
"All the assumptions we've made in our development would be on the basis of cross-patronage [with the casino]."
The problems facing Crown have also raised questions about The Star' casino's controversial push to expand its entertainment precinct on the opposite side of Darling Harbour.
However, it is understood The Star will forge ahead with its $1 billion plan to build two towers at Pyrmont to boost hotel accommodation regardless of any recommendations arising from the probity inquiry into Crown.