Macau Businesses Sound Alarm Over Casino Shutdown Fallout

Posted on: June 23, 2025, 03:19h. 

Last updated on: June 23, 2025, 03:19h.

Philip Conneller @casinoorgphilc Read More
Expertise: Gaming Business, Regulation, Tribal Gaming.
  • Thousands of jobs risked by satellite casino shutdowns
  • ZAPE businesses warn of severe economic consequences
  • Government urged to support non-gaming district revival

Business owners in Macau are warning of major economic fallout as at least nine satellite casinos face permanent closure by year’s end. The casinos are set to close permanently by December 31, 2025, putting around 6,000 jobs at risk in the gambling hub.

Macau satellite casinos, ZAPE district economy, SJM Holdings closures, Macau gaming law, Casino job losses
Macau’s Landmark Casino, above, is one of six satellite casinos in the ZAPE District whose days are numbered. Local business owners argue the government has underestimated the economic impact on the area. (Image: Landmark Macau/SJM Holdings)

The satellites, which have operated under the licenses of Macau’s six concessionaires since the industry’s liberalization in 2002, are being squeezed out by tightened regulations, dwindling revenues, and the government’s push to consolidate and modernize the industry.

Business owners said Sunday the government has severely underestimated the economic consequences of the move.

Industry Shake-Up

The closures follow a three-year period of grace that began with Macau’s updated Gaming Law, which reformed the sublicensing regime, requiring satellite casinos to either close or be acquired by main license holders.

But many small and mid-sized businesses, such as restaurants, retail shops, convenience stores, and service providers, rely heavily on the steady flow of casino employees and visitors.

The drop in daily traffic around the shuttered casinos will lead to economic hardship, according to a coalition of local businesses in Macau’s Zona de Aterros do Porto Exterior (ZAPE) district.

The district is likely to be the hardest hit by the closures because it contains six of the nine casinos scheduled for permanent shutdown under the new rules. Those are Casa Real, Fortuna, Kam Pek, Landmark, Legend Palace, and Waldo, all of which are sub-licensed by SJM Holdings.

New Nightlife District?

The Industry and Commerce Association of Macau ZAPE is petitioning the government to intervene and negotiate with SJM to allow the satellites to continue. SJM, along with its fellow five concessionaires, is required to demonstrate social responsibility and support local businesses under the conditions of its recently renewed license.

Failing that, the government should encourage other license holders to step in and save the business, according to the coalition.

Another suggestion was that the government transform the ZAPE district into a hotspot for non-gaming nightlife, with leisure dining, pedestrian streets, and signature attractions.

In a June 9 press conference, Macau’s Secretary for Administration and Justice, André Cheong, emphasized the closures were a “commercial decision” taken by the concessionaires.

He added there would be “no perceived impacts on gross gaming revenue (GGR),” while there would be a “positive impact that comes from the enforcement of the regulations on the way this industry operates.”