Barangaroo property prices not in jeopardy after Crown report, agents said

By Mia Chapman Updated
Blackstone rumoured to be interested in sale-leaseback of Star Sydney

Highly sought after luxury Barangaroo apartments are unlikely to see a fall in value, despite the worries impacting Crown Resorts casino at the casino.

Domain reports that questions have been raised over the potential financial impact of the Bergin report into Crown Resorts could have on its mixed-use building, which houses a hotel, restaurants and residential apartments, after the inquiry found Crown was unfit to hold a licence for its new Sydney casino.

While the hotel and restaurants in the building are already operating, it is unclear how many of the 82 apartments in Crown Residences One Barangaroo, listed on Knight Frank’s website as starting at $9.5 million have sold.

Knight Frank declined to give a figure, or divulge how many were still for sale.

Chinese property portal Juwai helped market the Barangaroo precinct to the Chinese market two years ago, with founder and executive Georg Chimel saying the recent developments would not detract buyers in the area.

“Our experience with scores of Asian buyers suggests that the casino would have been nice and would have generated demand, but its delay or absence is no dealbreaker for the suburb,” Mr Chimel said.

“If a family member asked me today if they should buy in Barangaroo, I would say yes, if you have the money.”

“The Liquor and Gaming Authority’s report is a much bigger deal for Crown the company than for the Barangaroo neighbourhood. People already live there. Prices have survived the pandemic. Most buyers have other motivations,” he said.

Ray White Residential Sydney CBD’s Michael Lowdon said foreign buyers would be more concerned about maintaining property value than keeping a casino.

“The thing that particularly hit me was, when you walk around you get a sense that it is very much aimed at the Chinese market and very much the pinnacle of the Chinese market,” he said.

“From the bars to the music to the fit out, everything is catered and has a Chinese influence.

“Now the fact that the casino is not there or could not be there in the future, will that make a difference? Who knows. It’s the million-dollar question.”

MGM ends pursuit for UK online gambling businesses

A bid by US casino giant MGM Resorts to takeover UK bookmaker Ladbrokes and Coral has ended.

Yahoo reports that MGM said it will not raise the $11 billion offer of two weeks ago for Entain’s entities, which were rebuffed as “significantly” undervaluing the company.

Following Entain’s rejection, shares in the UK-listed company tumbled.

After MGM’s announcement that they would be walking away, Entain shares fell another 20 per cent.

FTSE 100-listed Entain, which renamed itself from GVC Holdings in December, describes itself as “one of the world’s largest sports betting and gaming groups operating in the online and retail sector.”

In addition to Ladbrokes, it also owns Bwin, Partypoker, Coral, Eurobet, Gala and Foxy Bingo.

The failed bid was the latest attempt by a casino operator to move into the online gambling business.

MGM Resorts runs the Bellagio casino in Las Vegas and was hoping to emulate the feats of its rival, Caesars Entertainment, which agreed to buy William Hill for $3.7 billion in September 2020.

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