Galaxy's Francis Lui champions 'parallel strategy' for Macau's twin-track future

Macau has spent the years since the pandemic trying to reconcile two potentially conflicting ambitions: cutting its dependence on gambling while keeping its casino industry commercially powerful. Galaxy Entertainment Group chairman Francis Lui believes both goals can be pursued at once through what he calls a "parallel strategy," developing premium gaming and non-gaming attractions along separate but simultaneous tracks.

Lui, who has become one of the most prominent voices in Macau's casino sector, said the city owes its unique position to being China's only jurisdiction with legal casinos. He noted that mainland market penetration remains relatively low, and in exchange for that privilege, the industry must support government objectives.

"We try to understand and try to support what the government wants us to do," he said in an exclusive interview. He sees the authorities' message as one of continued commercial evolution paired with social responsibility and broader economic value creation.

Phase 3: Aligning with government vision

Lui described Galaxy Macau Phase 3 as matching the government's blueprint for Macau's future. The complex, opened in 2023, includes the Galaxy International Convention Center and Galaxy Arena, Macau's largest indoor venue with 16,000 seats and eight luxury suites. The combined pillar-free ground floor space spans 10,000 square meters, with a 715-key Andaz hotel topping the development.

The arena and convention facilities were built to rival regional hubs like Hong Kong and Singapore, and the company also added two ultra-luxury hotels, Raffles and Capella. Lui said the customer base has shifted toward multi-experiential demand, and each of these properties includes premium gaming areas with private salons alongside high-end dining, bowling, a golf simulator, spa, barbershop, an eight-seat cinema and karaoke.

"We like to say that we were pioneer," he said, noting that other operators have since followed with their own premium hotel rooms. The shift from a VIP-centric, lightly regulated model in 2019 to a more sustainable structure has allowed Galaxy to keep profits roughly level while supporting government aims, he added.

With Phase 3, Galaxy Macau now operates 5,000 guest rooms across nine hotel brands, a large gaming floor, the Grand Resort Deck with the world's largest rooftop wave pool, and a 100,000-square-meter shopping mall with over 200 outlets. Galaxy's group EBITDA surpassed US$1.8 billion last year, against US$2.1 billion in 2019, and the company regularly ranks first or second in Macau behind Sands China.

Phase 4 and the premium pivot

Phase 4, scheduled to open next year, will introduce more hotel brands new to Macau, a 5,000-seat theater, expanded retail and food and beverage options, a resort deck and a casino. Lui estimates total capital investment in Galaxy Macau will reach HK$100 billion (US$12.75 billion) once the phase is complete.

The company originally planned 2,000 to 2,500 rooms for Phase 4 but reduced that to 1,500 after reading the market as increasingly premium-focused. Lui acknowledged that fewer, upscale rooms runs counter to the government's goal of attracting more family and business travelers, which is why he advocates a parallel approach: catering to premium players while building more accessible accommodations elsewhere.

The Hengqin opportunity

Lui remains bullish on Hengqin, the island three times the size of Macau that serves as a special economic zone in Zhuhai. He said Galaxy no longer holds an option on land there for a proposed seaside resort, but he argues the island could help absorb Macau's projected growth in visitation.

"You don't want people to [sightsee] with us and go back to Zhuhai the same night," he said, emphasizing the need for hotels and seamless cross-border movement. If visitors could stay in Hengqin and re-enter Macau multiple times over a 24-hour period, he said, the parallel strategy could work at scale, retaining both premium and value-conscious customers.

Must-see entertainment and future markets

Lui has looked abroad for inspiration, citing the Sphere in Las Vegas and the ABBA show in London as examples of technology-driven attractions that draw paying crowds. He said Macau's next phase of development must embrace such soft-technology entertainment, and he is open to concessionaires pooling resources with the government to build must-see venues.

Beyond Macau, Galaxy is renovating StarWorld on the peninsula to shift its focus from VIP to mass market. Lui also said the Broadway property, converted from the former Grand Waldo, remains underutilized and could be transformed depending on market conditions.

Galaxy continues to eye Japan, where bidding on two integrated resort licenses is set to reopen in September 2027, and Thailand, though the current government has ruled out casinos. The UAE "could be a very great destination for an integrated resort," Lui said, citing Galaxy's track record as a developer of world-class properties. Still, Macau remains the center of the group's universe. "We believe in the China story. We believe in the Macau story," he said.

Family, ownership and succession

Lui became chairman in December 2024 after the death of his father, founder Lui Che Woo, at 95. His role now involves more high-level strategic decisions and steering the family and group through global uncertainty. The Lui family controls 54% of Galaxy, with his sisters on the board and his son Andrew serving as head of project development after a decade at the company. His daughter Joanna, who helped create Phase 2's Cha Bei café, is taking time out with her children.

Lui, who turns 70 this year, does not see the chairmanship as a job. "It's a passion," he said, adding that he remains energized by Galaxy's growth and Macau's future. He also stressed that ownership and management are distinct responsibilities, and his children have been encouraged to earn their roles through merit rather than expectation.