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Macau moves to address fallout from satellite casino closures

Neha Soni
Written by Neha Soni

As Macau’s satellite casinos near closures by the end of 2025, government officials are reportedly holding consultations aimed at mitigating the economic impact of these closures. This comes amid growing concerns among hoteliers and business owners in the Outer Harbour Reclamation Area (ZAPE/NAPE).

Authorities gather feedback

At least nine of the 11 satellite casinos are set to close by the end of this year. The restructuring follows revisions to Macau’s gaming laws enacted in 2022, under which all satellite casinos must either be owned directly by the licenced operator or operate under non-profit-sharing agreements. The deadline for compliance is 31 December 2025. Majority of the satellite casinos are located in the ZAPE/NAPE districts. As a response, the Economic and Technological Development Bureau (DSEDT) has been conducting field to learn about their needs.

Meetings have been held between the Macao Government Tourism Office (MGTO), the Office of the Secretary for Economy and Finance (GSEF), and the DSEDT. The organisations recently met with representatives of about 20 ZAPE-area hotels. MGTO Director Maria Helena de Senna Fernandes called the consultations a “vital opportunity” to hear local voices and gather feedback.

Initial proposals involve bringing internationally recognised intellectual properties—pop culture conventions, branded experiences, and world-famous concerts—into the city to attract new demographics. Tourism authorities have also encouraged hotel operators to come up with new promotional strategies and diversify their service offerings.

What are the concerns?

Among growing concerns are the closures severely impacting local real estate around the NAPE district. As reported by media, Chong Sio Kin, Chairman of New Orient Group, the operator behind Macau’s leading satellite casino, Landmark, revealed that numerous leases in the area have been cancelled or terminated since the closures were announced. Real estate data finds that during the first half of May 2025, average prices for property in Macau fell by 25 percent to MOP$69,634 per square meter. There have been suggestions that local authorities should introduce proactive policies to rebuild market confidence and stimulate investments to mitigate the closures’ impact.

Additionally, at stake is the employment of thousands of workers as they face an uncertain time. In response, the Labour Affairs Bureau (DSAL) stepped in with measures to help smooth the transition for those affected. The DSAL said it has reached out to 3,878 employees of these casinos, which marks nearly 70 per cent of those affected. Currently, roughly 5,600 locals are employed by these satellite casinos. Of which, Galaxy Entertainment Group, Melco Resorts & Entertainment, and SJM Holdings employ around 4,800 workers. The remaining 800 were employed by independent satellite operators directly.

Sam Hou Fai: closures won’t impact GDP

Meanwhile, Chief Executive Sam Hou Fai said that the impact of their closures on the city’s gross domestic product (GDP) would not be significant. This is because Macau’s concessionaires will shoulder their responsibility, according to the chief executive. Sam Hou Fai said the annual gaming revenue from satellite casinos, which was about MOP$10 billion, when weighed against Macau’s robust GDP, the number becomes relatively modest at just 2.5 percent.

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