UPDATE 1-MGM Mirage commits to more CityCenter funding
LOS ANGELES, Nov 6 (Reuters) - Casino operator MGM Mirage (MGM.N) said on Thursday it had agreed to provide up to $1.6 billion to complete its joint venture CityCenter project on the Las Vegas Strip, if outside financing cannot be secured.
MGM and joint venture partner Dubai World have each agreed to make additional equity contributions of up to $959 million, the company said in a filing with the Securities and Exchange Commission.
Las Vegas-based MGM said it had also agreed to partially guarantee the completion of CityCenter through a commitment to contribute up to another $600 million to the joint venture.
The partners said last month they had finalized $1.8 billion, and received another $500 million in commitments, toward the $3 billion in financing needed to complete the $9.1 billion development of hotels, condominiums and retail outlets.
The project, which is slated to open late next year, is under construction at the same time the U.S. economy has stalled, weak consumer sentiment has tamed spending in Las Vegas and access to credit has dried up.
MGM agreed more than a year ago to sell half of CityCenter to government-owned Dubai World, which also plans to acquire a stake of up to 20 percent in MGM itself.
