Montevideo Mayor, Ricardo Ehrlich, announced the sale of the tender papers for Hotel Casino Carrasco. The aim is to transform Carrasco into a high level tourist attraction, and the construction is about to start in 2009.
„After a long procedure, the tender process for Carrasco Hotel Casino has finally opened“, pointed Mayor Ehrlich, who announced the tender for Carrasco building. The documents are on sale in the Purchase section of the Montevideo Council (IMM) at a cost of USD 10,000.
The aim of the international public tender is the refurbishment of Hotel Casino Carrasco, the tender of the hotel and the management of a casino. Applicants have time until May 8th to present a proposal, and the study of applications and its further concession may take approximately three months.
Once the construction license is granted, the company has 20 months to do the refurbishment and start operating the hotel casino.
The commercial proposal of the hotel should be in the Mediterranean style, which is opposed to “Las Vegas style” casinos, in which the main focus is gambling, not the hotel rooms.
The document establishes that the casino may occupy the 20% of the building area, that rooms may offer a „great comfort“ and a „high level of refinement”. Besides, it should coordinate proposals for top-level tourists and may compete with regional hotels, including Conrad in Punta del Este.
A 40% of the points will be allocated to the building and urban aspects, another 40% will correspond to the offered fee and the remaining 20% to the business plan presented. The architectural project should be approved by the Commission of Historical, Artistic and Cultural Patrimony of the Nation, and by the Permanent Special Commission of Carrasco and Punta Gorda.
The fee will be comprised by two elements, a minimum annual guarantee and a percentage of the gross profit of the casino, with a 13% for each category. IMM set a minimum amount for the fee guaranteed, which should be exceeded by applicants in order to compete among them.
The first three years, the company should pay 7.500.000 Unidades Indexadas (USD 604,848 a year), while the rest 27 years it should pay the double annually (USD 1,209,697). The percentage of the winnings will also be set by the applicant, and the one which brings the highest percentage will achieve a 13% of the points.
In the 20% granted to the business plan, a 5% will be allocated to the proposal that generates the biggest quantity of employments and presents the highest level of salaries.
It also established a series of deposits of guarantees and charges in case of failures, which, according to Ehrlich, „will assure the transparency of procedures“. On top of that, the control of the casino management will be in charge of IMM, through officials from Casinos Municipales.