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Reports claim MGM’s Osaka IR to be certified by Japan’s central government, Nagasaki future less clear

Ben Blaschke by Ben Blaschke
Wed 12 Apr 2023 at 07:11
Osaka launches RFP process for Japan’s first IR

Osaka

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Japan’s central government is set to certify the plan submitted by Osaka and its operator partners for development of an integrated resort, according to a report by Kyodo News. However, the future of Nagasaki’s IR dream remains clouded.

The news outlet reported overnight that the central government is currently making final adjustments to approve the development plan submitted by Osaka city and prefecture in April 2022. The plan outlines development of a US$9 billion IR on Yumeshima island by a consortium led by MGM Resorts and its local partner Orix.

However, the report says the government is still discussing how to respond to Nagasaki Prefecture’s plan and may decide further review is required.

As reported by Inside Asian Gaming, Nagasaki’s selection process – which saw Casinos Austria named as the prefecture’s preferred partner – was shrouded in controversy with both unsuccessful candidates, Oshidori International Development and NIKI Chyau Fwu (Parkview) Group, questioning the process used by the selection committee. In-particular, the two companies alleged they were asked by Nagasaki officials to withdraw their bids or alleged probity issues uncovered by the prefecture would be made public.

The selection of Casinos Austria also raised eyebrows given past controversies in Europe and its lack of experience operating large-scale IRs.

Despite this, IAG understands the main points of contention around Nagasaki right now remain this weekend’s mayoral election in Sasebo and the planned takeover of troubled investment bank Credit Suisse by UBS. Credit Suisse was last year named one of the financiers of the Nagasaki IR project.

If certified, Nagasaki is promising a total investment of around US$3.2 billion into its IR, to be located in Sasebo City alongside Huis Ten Bosch theme park.

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Tags: Casinos AustriairJapanMGM ResortsNagasakiOsaka
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Ben Blaschke

Ben Blaschke

A former sports journalist in Sydney, Australia, Ben has been Managing Editor of Inside Asian Gaming since early 2016. He played a leading role in developing and launching IAG Breakfast Briefing in April 2017 and oversees as well as being a key contributor to all of IAG’s editorial pursuits.

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