Tsogo tees off

2010-07-07 16:31

Cape Town - Gaming giant Tsogo Sun - currently in the throes of a merger with Gold Reef Resorts [JSE:GDF] - is looking at adding a number of leisure and retail developments to its smaller casino interests.

The most interesting developments are planned for the former Century Casino businesses in Caledon and Newcastle. The two Century Casinos were acquired in 2008 by Hosken Consolidated Investments [JSE:HCI], the controlling shareholder in Tsogo.

According to a recent investor presentation document, the Caledon Casino, Hotel and Spa was completing proposals to build a golf course and was investigating the potential for a Southern Sun Lifestyle Resort on the property (which has 450 acres of surplus land).

At the Black Rock casino in Newcastle, a mall development for a third party was in the planning phase.

Late last year Tsogo completed a shopping centre development at its Hemmingways casino complex in East London.

Tsogo said its Emnotweni casino in Nelspruit also had expansion potential, but new developments were on hold.

The merger with Gold Reef Resorts - which has the Gold Reef City casino as its flagship property - will bring a number of smaller casinos into the Tsogo mix.

These incluse the Golden Horse casino in Pietermaritzburg, the Mykonos casino near Langebaan, the Goldfields casino in Welkom and the Queens casino in Queenstown.