Primorsky Resort Could be Welcoming a South Korean Bid

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Casinos in South Korea have been a good business. Even the threat of Japan becoming the next gaming hub in Asia, though, is not enough to stop local businesses from thinking big and expanding in the unlikeliest of destinations. This is exactly what’s on K International Incorporated’s mind, though.

Out of South Korea and into Russia

According to Asia Gaming Brief (AGB), South Korea-based operator K International Incorporated is now planning to open a property in Russia, discussing the move with the state-owned Primorsky Krai Development Corporation (PKDC) which is in charge of the Integrated Entertainment Resort (IER) zone supporting gaming facilities. Primorsky saw a spike in interests from investors in 2017 and it’s apparently still drawing the attention of well-heeled companies.

K International Incorporated could now be planning the development of a massive $236.6-million hotel & entertainment facility in the same zone owned by PKDC. While nothing has been officially confirmed by either of the reportedly involved parties, the new property might sprawl on a 49-acre plot.

IER has already been adding gaming properties to its portfolio, with the recently-concluded Tigre De Cristal worth $144 million. More ambitious projects are also underway, with Russia’s super rich able to enjoy the glamor of Selena World Resort Casino, a $900-million project developed by Russia’s Diamond Fortune Holdings company, another state-owned enterprise.

Igor Trofimov and the Future of the Project

While AGB couldn’t get an official confirmation, PKDC Corporate Director Igor Trofimov, temporarily filling the post, has said that there has been a discussion with the South Korea-based business entity and the project may appear on 20-hectares of the whole complex.

“We have been engaged in negotiations since the beginning of this year. The company accepts the terms of cooperation and is ready to sign the contract. For the implementation of the project, it considers a 20-hectare site with a fairly flat landscape,” Trofimov commented.

Meanwhile, more signs that the project is about to become a tangible undertaking have surfaced with Lee Dong Tek, K International Vice President, stating that a final draft of the mulled project will be submitted by November this year. As soon as the project is cleared and approved, the company will then push ahead with plans to purchase the land that it will need to develop the whole venture.

The choice of country is definitely not typical for K International Incorporated who hasn’t ventured in Russia before. If the present project passes all the initial stages, Russia will see an Eastern operator make its first forays in the country.

An Untapped Potential

Russia remains a fairly walled off market where casinos are mostly owned by the super -rich who need to power broker in order to obtain the needed licenses. Casinos at home are not favored at the expense of outside operators, although it is difficult to attract foreign investment. At the same time, though, a second Tigre De Cristal casino is being planned.

The task is even more challenging given the new series of sanctions that the United States have subjected the country to. Even then, K International Incorporated is prepared to push ahead with its investment.

More news about the upcoming project should surface as we draw closer to November. A final confirmation is not unlikely by that time.

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