Spanish wannabe plans Las Vegas-style complex in Spanish desert

The sound of slot machines and rollercoasters may soon disturb the deserted Los Monegros region of north-eastern Spain if a new Las Vegas-style project gets off the ground.

A consortium of 12 businesses wants to build the biggest leisure complex in the world, "Gran Scala", on a 20 square kilometre site in the arid wilds of Aragon, complete with a pyramid and sphinxes and lush green golf courses.

Despite the global credit crunch, a slowing real estate market and doubts about economic growth, the international group intends to invest 17 billion euros ($25 billion), or about twice the sum invested in the 1992 Barcelona Olympic Games.

Most of the money will go on building 32 themed casinos, 70 hotels and five theme parks, taking advantage of Spain's good weather and transport links, and the fact it is the world's number two tourist destination with 50 million visitors a year.

"This project does justice to an area that has been forgotten for many years," said Jose Angel Biel, the vicepresident of land-locked Aragon which has missed out on Spain's sunny costa tourism boom.

The consortium, International Leisure Development, kept a low profile at a presentation of the grand project, neither identifying themselves nor allowing reporters to ask questions nor even saying exactly where they planned to build the resort.

The forecasts they presented were as ambitious as the project, with 25 million visitors expected by 2015 when they only plan to break earth in the third quarter of 2008. They also have yet to buy the land for the project.

The developers said they expected little opposition from ecologists even though they are building a complex that will have an impact as big as a city of 100,000 people in a desert-like region in a country plagued by drought.

Tax boon

The local government has agreed to invest 250 million euros in transport links, power and telecommunications for a project that could earn it 700 million euros a year in gaming taxes.

The Madrid government could get about 1 billion euros a year from gambling taxes, a source of funding that has huge potential for growth thanks to freer legislation introduced this year.

While gaming of the roulette and craps variety are not huge in Spain, the country is crazy for lotteries and the Christmas "El Gordo" draw attracts billions of euros of bets.

The extra tax takes and the prospect of 65,000 jobs being created to build and run the complex could win over locals around Zaragoza, whose major economic engines at the moment are preparations for Expo 2008 and a General Motors factory.

"It's hard to believe a project of this size could happen, least of all here, and people are very hopeful," said Julian, a middle-aged native of Zaragoza, which lies half way between Madrid and Barcelona.

"We're in a province that doesn't count for much and if General Motors ever leaves we'll have a problem."

The consortium members are Aristocrat Technologies, UFA Insurance, Alea, Darlen Ltd, Finidusco Holding, Europtima, Ultragoup, BM Parks, Havilla Partners, Architects Association, Hot games UK and Thibault Verbiest.