The Cabildo de Tenerife has moved to relaunch the sale of Casinos de Tenerife, the island’s government-owned gaming operation comprising three properties, after a 2018 privatisation attempt at €25 million (US$29 million) collapsed when the sole interested bidder failed to meet tender conditions. Market analysts now estimate the business could fetch roughly double that earlier figure.
Revenue Growth Across All Three Properties
All three casinos are projecting double-digit revenue increases for the current fiscal year, underpinned by renovations, new attractions, and operational upgrades.
The Playa de las Américas Casino, located inside the H10 Gran Tenerife Hotel, is forecast to generate €7.6 million (US$8.9 million) in revenue — a 13.4% increase on the prior year. Slot machines are driving the improvement, up 20%, with table games adding 5% following renovation works.
The Santa Cruz Casino is expected to bring in approximately €3.1 million (US$3.64 million), a 21.5% projected rise. Slot revenue is forecast to grow 15% and table games 2.5%, supported by new attractions including the Racing Zone Canarias and the Art Tunnel. The property will also open its facilities for forums and conferences spanning sports, economy, and culture, positioning it as a multifunctional venue in Tenerife’s capital.
The Taoro Casino in Puerto de la Cruz — the oldest on the island — is anticipating revenue close to €7.5 million (US$8.8 million), representing a 16.3% increase, with profits expected to reach €2.6 million (US$3.05 million).
Operational Upgrades Planned Ahead of Sale
Officials at the Cabildo plan to replace older gaming machines and upgrade casino floor management and control software before launching the formal sale process, moves designed to strengthen the properties’ market positioning and valuation ahead of any tender.
“The casinos of Tenerife are experiencing a significant moment from a patrimonial, operational, and social perspective. The approved budgets for this fiscal year display a progressive consolidation of their revenues, profitability, and EBITDA.” — Lope Afonso, First Vice President and Tourism Councillor, Cabildo de Tenerife
Afonso acknowledged that casinos are not classified as essential public services, but emphasised their value as income-generating assets. The dividends they produce fund Cabildo public policies, which in turn supports the properties’ market value and positioning ahead of any future sale procedure.
Context: A Market Now Worth Considerably More
The 2018 sale attempt broke down over a single bidder’s inability to meet tender conditions, leaving the Cabildo holding assets it has since invested in. The combined revenue projections for 2026 — totalling approximately €18.2 million (US$21.3 million) across all three properties — represent a materially stronger underlying business than the one that attracted a €25 million asking price eight years ago, and go some way to explaining the analyst estimate of roughly €50 million.
The Canary Islands, and Tenerife specifically, sit outside the Spanish iGaming regulatory framework that governs online operators on the mainland. The islands operate under a separate gaming regime, giving the Cabildo — rather than the national regulator — primary authority over casino licensing and ownership. That jurisdictional specificity may narrow the field of credible bidders to regional operators or investors with experience navigating Spanish sub-national gaming frameworks.
For European land-based operators assessing acquisition targets, the Tenerife portfolio offers stable tourism-linked gaming revenues across three properties, with a modernisation programme already underway and a seller motivated to complete a transaction the previous administration could not close.
No timeline for the formal relaunch of the sale process has been announced.
Source: Tenerife Weekly
