Macau casino malls come alive as shoppers spend vouchers, tenants rent for free

Macau’s government has offered 8,000 patacas in vouchers to each resident to spur the economy, as gambling revenue slumps

Mall landlords are more willing to offer concessions to tenants as they rely less on leases for revenue than their Hong Kong peers

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A motorcyclist stops for a traffic light in front of the Casino Lisboa in February in Macau, China. Casino malls are getting busier as residents return with shopping vouchers. Photo: Getty Images

Published: 8:45am, 9 Jun 2020Updated: 7:03pm, 9 Jun 2020

Major casinos in Macau have been buzzing over the past few weekends, with a refreshing twist. Residents with shopping vouchers are beginning to fill the malls of late, according to property consultants JLL, while the city awaits the return of gamblers.

Thanks to the government’s stimulus handout of 8,000 patacas (US$1,014) in electronic vouchers, the economy is showing some signs of life. The vouchers for eligible residents come in two tranches: 3,000 patacas for May to July, and 5,000 patacas for August to December.

The scene is a respite for retailers after the coronavirus pandemic sucked the life out of the glitzy city. It also provides a glimpse of recovery for the government that is trying to diversify its income base, and for the city that recently mourned the passing of famous and colourful businessman Stanley Ho.

“Consumption coupons did help. When you go to casino malls, including The Venetian and Galaxy, during the weekend, the footfall is tremendous,” Oliver Tong, head of leasing for Macau at JLL, said of his recent visit. “It felt like going back to November or December last year, when there were a lot of people. But these were [now] all locals.”

Retail sales from May onwards should be much better than April, since the vouchers boosted consumption and helped fill the malls, Tong added.