It’s a no go for Hokkaido in the first round of gaming bids to create Japanese integrated resorts. Governor Naomichi Suzuki ruled out participation by his prefecture because there just wasn’t enough time to weigh the benefits and conduct an environmental impact statement.
One of the proposed sites for a Hokkaido casino was the port city of Tomakomai on this northernmost of the Japanese islands. Rigorous environmental studies would have been necessary since Tomakomai sits astride Lake Utonai, a celebrated wildlife sanctuary.
In his report to the prefectural assembly, Suzuki said the studies may have been rushed, given the timeline. “An integrated resort in Hokkaido which would coexist with nature has big potential,” he said, “but I thought it would be impossible for us to give due consideration to the environment in the limited period of time before the government selects the locations.”
Suzuki was also confronted with polling that showed 66 percent of those polled also worried about the incidence of problem gambling should a casino be approved. More than 20,000 residents of Tomakomai also signed a petition opposing a casino there.
The impact of the decision affects several companies that had targeted Hokkaido as their first choice for a resort.
Jim Allen, the chairman of Hard Rock International, acknowledged that the prefecture was the huge market that you find in Tokyo, Osaka or Nagasaki, but compared it to a lesser Olympic medal.
“My analogy has always been, everyone who trains for the Olympics wants to win the gold medal,” he says. “But there’s nothing wrong with a silver or a bronze. We felt we has a better chance to plant our flag in Hokkaido than either Osaka or Tokyo, so we’ve spent a lot of time working with local government, vendors and communities.”
Mohegan Gaming & Entertainment opened an office in Tomakomai as recently as October, declaring the city its main focus in Japan. The company said it would spend as much as $3 billion to construct its second Inspire resort. The first is currently in the planning stages next to Incheon Airport in South Korea.
Hokkaido’s withdrawal leaves at least five areas of Japan still in the running for two or three casino licenses. Yokohama, the city of Osaka and Osaka Prefecture, Wakayama Prefecture and Nagasaki Prefecture have said they would bid. In addition, Tokyo and the cities of Chiba and Nagoya have also expressed an interest.
