Australian billionaire James Packer is taking a huge gamble on his Crown Sydney casino.
As the largest shareholder in Crown Resorts, Packer is exposed to fears that the A$2.2bn scheme, known locally as Packer’s Pecker, could become a white elephant as high-roller buyers and guests are in short supply.
Crown said it had already sold apartments worth A$650m, including two entire floors for a super-luxury pad that Mr Packer bought for A$60m.
But it still needs to shift a substantial amount of real estate, including the A$100m penthouse, as well as fill the hotel and casino, to turn a profit. It is a challenge some commentators warn may force a strategic rethink.
