Madrid was to be the Las Vegas of Europe, with a huge gambling resort built in the town of Alcorcón, just 13kms south of the city. However, the Spanish government has rejected the demands put forward by the Las Vegas Sands group, whose requirements before signing any deal were just too much.

The group has now announced that it no longer considers Spain viable for the project and is now seeking to set up elsewhere, almost certainly in Japan or Korea.

It appears that the group, headed by the tycoon, Sheldon Adelson, wanted lower gambling taxes and guaranteed financial compensation in the event that a different government decided to change the gambling laws. He also demanded the waiving of the no-smoking law within the installations.

The complex would have had 12 hotels with around 36,000 rooms, six casinos, golf courses and shopping centers, as well as a convention centre, bars and restaurants. The project would have received around 17 billion euros in funding and was going to create up to 25,000 jobs in the construction industry and a further 75,000 in the services sector. Even the PP called the development a much-needed boost to the economy with wealth and jobs for the region.

However, some commentators had voiced their concerns about Mr. Adelson’s demands, which they say were presented very late in the day and without precedent in any of his other resorts throughout the world. The compensation proviso alone would have violated European competition laws… yet Adelson still maintained that the conditions were non-negotiable.
Mind you, there have always been the detractors, who were quick to point out that it was hypocritical of the PP to allow a foreign chap, with bags of money, to simply bypass the non-smoking laws and also that the project would provide only very low-paid employment.

Well, it’s all gone belly-up now anyway, with the man holding the purse strings stating, “while the Spanish government and others have worked diligently on this project, we can not see a path in which the criteria needed to move forward can be reached. As a result, we are no longer pursuing this opportunity,” explained money-bags Adelson, whilst packing to head off to the far east.

On the Spanish side, the Madrid delegate from the PP, Cristina Cifuentes said that, “while the Alcorcón project is very important for the region of Madrid and indeed Spain, we cannot create a permanent exception.” She went on to cite the demands for lower taxes and smoking being allowed in the complex, hotels and casinos.

“The law applies to all citizens,” she explained, adding, “I would prefer for this not to be the final decision and that both parties may reconsider, so that such an important project can progress.” (Too late! he’s half way to Korea!)

Oh well… easy come, easy go.