KUALA LUMPUR: The fight for a casino licence in sunny Miami is heating up amid the doom and gloom in the global economy and fear-driven equity markets.

Barely three weeks after the Genting Group unveiled an artist’s impression of its planned US$3 billion (RM9.6 billion) bay-front resort, billionaire Sheldon Adelson’s Las Vegas Sands Corp (LVS) has reportedly found a site in downtown Miami that could house a Miami Sands if negotiations pan out, local news reports quoted a company official as saying.

“We have looked at the site and we like it,” the Miami Herald quoted Andy Abboud, vice-president for governmental affairs for LVS in a report dated Oct 3. Abboud also said the group “is actively involved in negotiations” with the Miami Worldcenter Group.

Nitin Motwani, a partner at the Worldcenter Group, confirmed having met with Adelson last week but added that no deal had been struck. “We have been approached by Sands as well as other operators [but] we do not have any deal with the Sands and we have not seen any designs,” Motwani was quoted as saying in the same report.

Miami Commissioner Marc Sarnoff, who also reportedly met Adelson and Motwani’s partner Art Falcone last week, had this to say: “They described their resort concept. It’s comparable to Genting.”

It remains to be seen if the Tan Sri Lim Kok Thay-led Genting Group, which has already spent money to acquire land, flesh out plans and has commitedto begin construction even without a casino licence, have a tad too much at stake.

Barely three weeks after the Genting Group unveiled an artist's impression of its planned US$3 billion bay-front resort, billionaire Sheldon Adelson's Las Vegas Sands Corp (LVS) has reportedly found a site in downtown Miami that could house a Miami Sands if negotiations pan out.

According to the Miami Herald report, LVS had in its meeting with state and local officials been arguing that the South Florida market cannot support two gambling giants.

Other casino players vying for a casino licence in South Florida include Caesars Entertainment, which is reportedly in talks with Gulfstream Park, a horse racing operator which runs the Florida Derby. There is a two-floor casino with 850 slot machines, electronic table games and poker tables right next to its racetrack, according to its website.

According to news reports dated as far back as September 2009, Miami Worldcenter is a developer looking to revitalise Miami’s long-neglected Park West with a mixed-use project spread over 20 years with hotels, retail, entertainment and pedestrian-friendly promenades. Plans reportedly include a hotel to cater to business travellers with an adjoining convention centre, according to a Miami Today report dated Sept 10, 2009.

On Sept 14, Genting said it was looking to build a US$3 billion resort with four hotels, two condo blocks, shopping space, a 700,000 sq ft convention centre, 50 restaurants and nightclubs along Biscayne Bay that could be completed within three to five years if it gets a casino licence. Construction will be “as the market demands” and could take 10 to 15 years if a casino licence isn’t part of the equation, SunSentinel.com quoted a Genting spokesman as saying.

The group has thus far reportedly assembled some 30 acres of land in Miami, having paid US$236 million for the land housing the Miami Herald office on May 27 this year and picked up some US$200 million worth of debt paper issued by a distressed property developer whose collateral includes the Omni Center, the Hilton hotel, offices and parking garages.

The Genting Group, which opened its first hotel in 1971 at Genting Highlands, Pahang, today also runs integrated casino resorts in Singapore, the Philippines and soon, in New York.

Its stock price hasn’t escaped the recent sell off. Falling 12 sen or 1.33% to close at RM8.88 yesterday, Genting Bhd is down 20.57% year-to-date (YTD). Its subsidiary, Genting Malaysia Bhd, which slid two sen or 0.57% to RM3.49 yesterday, is holding up better having eased only 2.95% YTD.

Across the Causeway, Genting Singapore Ltd — which shares the market with Adelson’s Marina Bay Sands — yesterday fell six sen or 4.05% to close at S$1.42 (RM3.46), down a whopping 35.16% YTD to its lowest in 13 months. LVS, with a market capitalisation of US$26.8 billion, is down 20.11% YTD.

Most analysts seem to think shares of Genting and Genting Malaysia are worth more though. There are 20 “buy” calls on Genting versus five “holds” and zero “sells” with recently updated price targets ranging between JP Morgan’s RM9.60 to DBS Vickers Research’s RM13.60 apiece.