Versace Plans Hotel in Asian Gambling Hub Macau

Italian fashion house Versace says it has signed a deal to build a luxury hotel at a casino-resort in Macau, the world's top gambling market.

Versace and Macau casino operator SJM said in a joint statement Tuesday that the Palazzo Versace hotel will be part of the resort SJM is building in the former Portuguese colony.

SJM, founded by billionaire Stanley Ho, received official approval in May to build a 2,000-room resort with 700 gambling tables.

It will be SJM's first resort on the Cotai Strip, modeled as Asia's version of the Las Vegas Strip.

Macau is the only place in China where are casinos are legal. It earned $38 billion in casino revenue last year thanks to rising numbers of affluent mainland Chinese visitors.