Melco Resorts & Entertainment has unveiled plans to house a private hospital focused on imaging and diagnostic medical services at its Studio City integrated resort in Macau – part of the company’s commitment to invest in non-gaming attractions.
Parent firm Melco International Development Ltd said in a filing that it had entered into an operating agreement with iRad Imaging and Diagnostic Medical Center – described as an associate of Melco Chairman and CEO Lawrence Ho – to operate the hospital for an initial period of 10 years commencing 1 October 2025. This is to be followed by a mutual option to extend the agreement for two further periods of five years each.
Zedra Asia Limited, the trustee of a discretionary family trust whose beneficiaries include Ho and his family members, indirectly owns 40.63% of iRad.
According to details contained in the filing, the hospital will be a “fully fitted, world-class private hospital focused on imaging and diagnostic medical services” covering a total area of 12,618 square feet at Studio City.
Melco subsidiary Studio City Retail Services Limited (SCRS) will purchase and install medical equipment for the operation of iRad at the premises, with iRad to pay Melco a base monthly fee starting at MOP$694,981 (US$86,700) covering rent and equipment use, plus a turnover fee of 1.5% of monthly turnover if higher than the base fee and a management fee beginning in year four.
Upon expiration of the term, iRad will have an option to purchase the equipment “for a nominal price”.
Melco explained, “In connection with the grant of a gaming concession to Melco Resorts (Macau) Limited, SCRS shall support the health care industry of Macau by providing support to iRad”. iRad will also “provide discounted imaging and diagnostic medical body check-up packages to the Group companies operating Studio City Hotel, Altira Hotel and City of Dreams Hotel, which such companies may make available for purchase or on a complimentary basis to their respective customers or employees.”
The agreement relates to the 10-year gaming concession contracts signed by Macau’s six concessionaires in 2022, requiring them to invest a combined MOP108.8 billion (US$13.6 billion) into non-gaming elements from 1 January 2023 onwards.
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