• Subscribe
  • Magazines
  • About
  • Contact
  • Advertise
Friday 9 May 2025
  • zh-hant 中文
  • ja 日本語
  • en English
IAG
Advertisement
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
No Result
View All Result

Japan’s central government officially rejects Nagasaki IR on uncertainty around financing, casino operations experience

Shintaro Kamimura by Shintaro Kamimura
Wed 27 Dec 2023 at 15:32
Musical Chairs

Dutch-inspired theme park Huis Ten Bosch was Nagasaki prefecture’s choice as the site for an IR.

32
SHARES
799
VIEWS
Print Friendly, PDF & Email

Japan’s Ministry of Land, Infrastructure, Transport and Tourism announced on Wednesday that it will not approve the development plan for an integrated resort with casino gaming in Nagasaki, citing concerns around financing and the track record of investors.

Following local media reports earlier in the day which claimed the application submitted by Nagasaki prefecture and its partner consortium Kyushu Resorts Japan would be rejected, the Ministry released the results of a review by a committee of experts which confirmed that stance.

The panel said, “It is difficult to say there is sufficient evidence to support the certainty of financing” and the lack of “objective materials supporting the certainty of financing” from potential investors and financing parties. Specifically, it pointed to an insufficient level of commitment in provided letters while noting that the parties scheduled to invest in and finance as of September 2023 had changed significantly since the time of application.

As such, “we cannot eliminate the concern that the parties scheduled to invest/finance may continue to change in the future,” it said.

Casinos Austria previously released its concept for an IR in Nagasaki.

The panel also expressed doubt over the ability of investors to successfully operate a large-scale IR, stating that only Casinos Austria International (CAI) – which was leading the Kyushu Resorts Japan consortium – displayed any track record or know-how in such activities. However, CAI’s direct investment into the project was to be minor, raising further questions over the level of its involvement.

“Although CAI has a track record and know-how in developing and operating casino facilities, we cannot fully confirm [the rest of the consortium’s] track record in installing and operating IRs,” the panel wrote in its assessment.

“Furthermore, as [CAI’s] investment ratio is extremely small and the level of commitment in the letter is not sufficient, it is difficult to say that CAI’s capital involvement in the IR business is sufficient.”

While the panel acknowledged that Nagasaki would appoint individuals with IR experience to management and director roles, it added, “It is not enough for IR operators to provide know-how from CAI etc. Considering that casinos must be operated and measures to eliminate harmful effects must be appropriately implemented, there is insufficient evidence to expect the IR business, including casinos, will be carried out appropriately and continuously.

“Most of the investment will come from investment companies … and profits from the casino business will be utilized. Concerns cannot be dispelled as to whether priority should be given to returning profits to investors or taking measures to return profits to the IR business and eliminate the harmful influence of casinos.”

Taking these measures into account, the panel concluded that the “Kyushu/Nagasaki Specified Complex Tourist Facility Area Development Plan” does not meet the required standards and that it is not appropriate to certify it.

Nagasaki Prefecture and Kyushu Resorts Japan submitted its area development plan to the national government in April 2022, pushing for development of an IR alongside Dutch-inspired theme park Huis Ten Bosch in Sasebo City. The plan was to open around the fall of 2027, with sales estimated to be reach JPY271.6 billion (US$1.9 billion) by the fifth year of operation.

In April 2023, the central government approved Osaka Prefecture’s area development plan, which was submitted at the same time as Nagasaki, but said it needed more time to review the Nagasaki application given a lack of clarity around funding as well as future estimates.

As reported by IAG, there have also long been questions around the selection process that led to CAI being chosen as Nagasaki’s preferred partner to develop an IR.

RelatedPosts

Wynn Resorts Chairman says departing CEO Maddox keen to explore non-gaming career opportunities

Wynn wary of returning to Japan amid talk of second IR bidding round

Wed 7 May 2025 at 06:12
MGM Resorts unveils Osaka IR concept

MGM increases Osaka IR equity investment to US$3 billion but bullish on expected returns

Thu 1 May 2025 at 10:33
The Japan IR Industry: A Golden Opportunity Squandered

MGM-Orix consortium breaks ground on Osaka IR project

Fri 25 Apr 2025 at 05:50
Konami’s Gaming & Systems revenue slightly down to US$122 million in six months through September

Konami seen generating strong cash flows in foreseeable future after regaining post-COVID earnings power

Sun 20 Apr 2025 at 07:54
Load More
Tags: Huis Ten BoschirJapanNagasaki
Share13Share2
Shintaro Kamimura

Shintaro Kamimura

Shintaro Kamimura (from Tokyo) has worked for many years as a professional mahjong player, mahjong instructor and a writer. He travels far and wide both in Japan and overseas, fine-tuning his already extensive expertise in many areas of gaming, including Japanese pachinko and slot machines, and overseas casinos.

Current Issue

Editorial – Knife’s edge

Editorial – Knife’s edge

by Andrew W Scott and Ben Blaschke
Tue 29 Apr 2025 at 15:14

Thailand’s Entertainment Complex journey is at a critical point, with the success or failure of the initiative to be determined...

The changing face of Macau

The changing face of Macau

by Ben Blaschke
Tue 29 Apr 2025 at 15:09

Inside Asian Gaming takes a deep dive into the new, post-COVID Macau where a revenue environment that seems to be...

Born again

Born again

by Pierce Chan
Tue 29 Apr 2025 at 14:47

Premiering in September 2010 at City of Dreams, The House of Dancing Water was a visionary creation by artistic maestro...

Richard Howarth – Testing the limits

Richard Howarth – Testing the limits

by Ben Blaschke
Tue 29 Apr 2025 at 13:17

Richard Howarth, Chief Business Officer APAC for global testing laboratory GLI, discusses his career journey and his passion for fast-paced...

Evolution Asia
Aristocrat
GLI
Mindslot
Solaire
Hann
Tecnet
Nustar
Jumbo

Related Posts

Galaxy Macau to host 2025 Annual Conference of the FIA – world motorsport’s governing body

Favorable VIP hold pushes Galaxy Entertainment Group’s 1Q25 profit to US$412 million

by Ben Blaschke
Thu 8 May 2025 at 14:03

Macau’s Galaxy Entertainment Group (GEG) reported total net revenue of HK$11.2 billion in the first three months of 2025, including gross gaming revenue of HK$10.9 billion (US$1.36 billion) – up 13.6% year-on-year although slightly lower than the HK$11.0 billion (US$1.38...

Solutions Showcase: Angel – Tech Minded

Baccarat side bets now contribute close to 50% of Macau baccarat revenues

by Ben Blaschke
Thu 8 May 2025 at 13:32

Baccarat side bets now contribute between 45% and 50% of Macau’s gaming revenues, representing a generational shift in player preferences thanks to the deployment of smart gaming table technology. Stakeholders told IAG that such side bets previously comprised only a...

House of Dancing Water returns to City of Dreams Macau with spectacular premiere

House of Dancing Water returns to City of Dreams Macau with spectacular premiere

by Pierce Chan
Thu 8 May 2025 at 11:11

After a five-year hiatus, City of Dreams’ epic production House of Dancing Water held its premiere on Wednesday 7 May ahead of an official opening to the public on Friday. The newly reimagined resident show is produced by Giuliano Peparini,...

Grand Korea Leisure extends casino closures until 15 February

Grand Korea Leisure’s casino revenues up to US$26 million in April

by Newsdesk
Thu 8 May 2025 at 07:03

Foreigner-only casino operator Grand Korea Leisure reported casino revenue of KRW36.2 billion (US$25.9 million) in April, up 11.5% year-on-year but down 12.7% compared with March. GKL’s casino revenue comprised an 11.7 % year-on-year increase in table revenue to KRW32.9 billion...



IAG

© 2005-2024
Inside Asian Gaming.
All rights reserved.

  • SUBSCRIBE FREE
  • NEWSFEED
  • MAG ARTICLES
  • VIDEO
  • OPINION
  • TAGS
  • REGIONAL
  • EVENTS
  • CONSULTING
  • CONTRIBUTORS
  • MAGAZINES
  • ABOUT
  • CONTACT
  • ADVERTISE

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Subscribe
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
  • Events
  • Contributors
  • Magazines
  • Advertise
  • Contact
  • About
  • Home for G2E Asia

© 2005-2024
Inside Asian Gaming.
All rights reserved.

  • English