海角大神

American casino mogul Sheldon Adelson has a 鈥渧ision鈥� of bringing a massive Vegas-style casino complex to Spain and is tempting officials with billions in investment and tens of thousands of jobs that are sorely needed.

But Mr. Adelson's proposal comes with big demands, which reportedly include fiscal breaks and substantive reforms to Spanish laws, and have already prompted a backlash聽that聽could upend the project altogether. His proposal聽is triggering a broader debate in Spain about just how far the country should be willing to go to exit its worst recession in decades. Spain's final decision on the proposal isn't expected until this summer.

The proposed project would involve building 12 hotels, six casinos, a concert hall, several theaters, and golf courses on about three square miles over the next decade. Ron Reese, vice president of public relations for Adelson鈥檚 Las Vegas Sands Corp., told officials and Spanish media during a tour last month that some 17 billion euros would be invested and around 260,000 jobs would be created.

Adelson鈥檚 company hasn鈥檛 made its case publicly and the aura of secrecy is raising even more suspicions. The company did not answer multiple requests for comment.聽

Analysts, politicians, and economists in Spain have suggested that the economic benefits聽are not realistic. With several casinos in three different cities, Adelson's company only hired 36,000 people, they say. And besides, the rate of employees per hotel room 鈥� a common unit of measurement for Spain's tourism industry 鈥� for Adelson's proposal is much smaller than that of Spain's overall average.

At the time, Mr. Reese also acknowledged that any decision will depend on the 鈥渇lexibility鈥� of authorities as they consider Adelson鈥檚 terms. Both the company and Spanish authorities have yet to confirm what incentives are being negotiated, but both have said talks are in advanced stages.

Some of Adelson鈥檚 terms have been widely published in the press. They reportedly include tax breaks; social security exceptions; and reforms to anti-smoking, labor, and immigration laws; on top of land concessions and significant public spending in surrounding areas.聽Some of them violate existing Spanish laws 鈥� such as bans on smoking in casinos, gambling by minors and gambling addicts, and money laundering 鈥� and exceptions or changes to the laws would require parliamentary approval.

Both Barcelona and Madrid are being considered for the project and both cities made their case in Las Vegas last week.聽Madrid appears more than willing to make exceptions for Adelson. Its leading regional politicians, aligned with the Spanish government, have insisted they will do anything in their power to win Adelson鈥檚 business. All officials admit there is room to negotiate, as long as it鈥檚 within the law, but they have been intentionally vague about the specifics of the deal.聽

Adelson鈥檚 demands, or at least the public perception of them, are indeed threatening the EuroVegas project.

鈥淛ust because someone offers money doesn鈥檛 mean we should do them any favors,鈥� says Xavier Sala i Mart铆n, a well-known Spanish economist and professor of development economics at Columbia University.聽鈥淭he bar should be equality under law. Whatever authorities offer Adelson has to be offered to all companies. Some laws should be changed, indeed, because it鈥檚 in better for Spain 鈥� but not to attract an investment.鈥�

Worried about 'the worst of Vegas'

Adelson first announced he was in talks for a EuroVegas in Spain more than a year ago, but with Spain focused on its economic crisis, growing unrest, and political upheaval,聽negotiations didn鈥檛 get very far.

Unemployment now stands at more than 23 percent and is expected to peak at 25 percent. The economy is projected to contract 1.5 percent in 2012 and not return to growth until 2014. Austerity measures have been severe and are expected to only get worse.

Mega casino proposals are not new to Spain, which receives nearly 60 million foreign tourists every year. At least another couple of mega casino projects have been announced in Spain over the past years, including one that attracted millions in investment, but the plans fell through as the crisis scared investors away.

Interest in Adelson鈥檚 EuroVegas picked up once the conservative Popular Party swept elections in November 2011. Adelson met with top regional officials to discuss his project as recently as February 2012.

But concerns about gambling, prostitution, money laundering, and other stigmas of the casino industry are not new either and Spain, like the rest of Europe, has聽strict anti-gambling laws although casinos are legal and numerous.

鈥淪pain should impose conditions. They have to attract higher value-added tourists,鈥� says Gayle Allard, a managerial economic professor at IE Business School in Madrid. 鈥淢ake sure EuroVegas doens鈥檛 look like the worst of Vegas.鈥�

Opposition against the project has also been building as officials admitted in the past two weeks聽to be involved in advanced negotiations, despite getting close to no public input. Spain is in dire need of investment and job creation 鈥� but at what price, many ask.

鈥淭hey are keeping negotiations secret. They never asked anyone鈥檚 opinion. Even after we asked, they haven鈥檛 told us anything,鈥� says Mar铆a Fern谩ndez, a spokeswoman of the EuroVegas No! initiative. She was one of a dozen protesters delivered a letter Wednesday to Madrid officials demanding the project be scrapped.

鈥淚 believe Adelson really wants to build EuroVegas, but this can unwind at any moment,鈥� Dr. Sala i Mart铆n says. 鈥淗e鈥檚 asking for exceptionality that shouldn鈥檛 be granted. But if the government鈥檚 desperation is such that it will bend laws for him, than yes, this could actually happen.鈥�

Perpetuating a broken economic model

The bulk of Aldelson鈥檚 job-creation proposal would be in the construction and tourism sector, mostly as low-income jobs 鈥� precisely the kind of economic model that led Spain to the economic pain it鈥檚 now enduring.

When a real estate bubble burst in 2008, leaving millions of workers without a job, the economy simply couldn鈥檛 absorb the suddenly unemployed workforce without a substitute industry.

Critics say Adelson鈥檚 proposal reinforces an unsustainable economic model and聽adds insult to injury because it includes a request for tax and social security exemptions.聽

鈥淛obs and investment are not worth what they want in return,鈥� Ms. Fern谩ndez says as she passes out flyers in Madrid's main plaza, Puerta del Sol.聽Could she be persuaded with more information though? 鈥淣o. This is not the economic model we need. We don鈥檛 want a Sin City here. We don鈥檛 want Adelson鈥檚 money here. The entire project is intolerable.鈥澛�

But some economists disagree. 鈥淵ou have to be realistic. In the short term, what do you do?鈥� asks Dr. Allard. 鈥淪pain should grab anything to create jobs. If you can get someone to come in, while economy gets back on its feet, it鈥檚 a fiscal stimulus in itself.

鈥淏esides,鈥� Allard adds, 鈥渘obody is going to come and say they鈥檒l hire 300,000 to build high technology industries.鈥�