Eurovegas chooses Alcorcon for its megaproject of 18000 million Euros.

The first executive of Las Vegas Sands Corporation, Michael Leven, revealed this Friday along with the President of the Region of Madrid, Ignacio Gonzalez, the last secret of the megaproject which the US company intends to build in Spain.

“It is a very special day, very important for Madrid, its Region and for Spain. Today starts a project that will be the most important investment in Spain and surely in the world in the next few years”, Ignacio Gonzalez assured.

(…) “Alcorcón is our favorite spot”, the representative of Las Vegas Sands assured.

Eurovegas (a name which will be changed once the project has advanced) will be build on the land of La Venta de la Rubia, an area southeast from the capital, on the north side of Alcorcón.(…)

Among the owners of the plot in Alcorcon, the group Urtinsa stands out, owner of the construction company Arpada and managed by Jaime González. His brother Pablo, manager of Alcorca, also owns land, as well as big real estate companies such as Metrovacesa, Vallehermoso, Chamartín, Espacio, and Ros y Falcón. These companies are own 12,4 million square meters, 7,5 million of which will be occupied by Las Vegas Sands. “Our proposal includes a discount on this land in exchange for a value contribution”, Vicente explains.

Once the site has been chosen, the Government and the company hope that the development and execution dates can be advanced as much as possible. “We have come with the final proposal and now we start with the first phase”, Leven declared.

Las Vegas Sands will build this megacenter in three phases lasting twenty years, with 12 hotels with 3000 rooms each (there is no accommodation in Spain even near to these dimensions), as well as malls, theaters, a space for concerts and circus shows, and even a copy of the NY Times Square, where it will be possible to celebrate New Year “every day”.

Part of this infrastructure will be in operation between 2017 and 2018. “Adelson´s dream is to finish Eurovegas before turning 100,” Leven joked during his short visit to Madrid. The U.S. tycoon will turn 80 in 2013.

(…) Las Vegas Sands establishes that the investment needed to build Eurovegas will be of 18000 million Euros (27000 million Dollars). The company will contribute with 35% to 40% of the total amount. The rest will come from bank financing, participated by North American, Asian and probably some Spanish banks, sources close to the company were assuring yesterday.

Leven explained that the company already has enough funds in Madrid to start building the first phase. It will be 9000 million Dollars, 3600 million of which will come from Las Vegas Sands funds. The rest will be completed by bank contributions, which have agreed to participate in the financing through bank endorsements.

The first phase will be started at the end of 2013 and will finish four years later. “Eighteen months after ending the first phase, we will start with the second one”, the US executive declared.

During this first period, four skyscrapers will be built which could exceed the other giants of the Madrid skyline.

These four resorts only would create 40000 direct jobs which would double with the workers of the malls that will be built in the complex. Las Vegas Sands promises that its total development will create more than 260000 jobs, as well as attracting eleven million new tourists to Madrid.

These important figures have seduced the Madrid Administration, which has worked since 2011 to facilitate the establishment of Eurovegas in Madrid. “We already have the necessary legal and tax framework to carry out a project like this.” He refers to the Law 8/2012, passed on the 28th December which allows the creation of the Integral Development Centers.

This figure offers tax benefits such as a reduction of 95% in Patrimony Transmission Tax. The president of the Madrid Region has also agreed to improve the infrastructures of the area in order to facilitate the arrival of tourists and locals to Eurovegas. “We are already talking to the Governments about the AVE and the roads. For the first phase, the current capacity of Barajas is enough”.

Adelson and his team still have a great battle to fight: that smoking may be allowed within the premises.

Source: Expansión

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