On August 22, plans to develop an integrated resort (IR) in Yokohama, Japan ended with the election of anti-casino mayor Takeharu Yamanaka.
Throughout his campaign, in a crowded field that included other IR opponents, Yamanaka vowed to call a halt to any IR plan in the city. The bidders, Melco Resorts & Entertainment and Genting Singapore, now must close up their offices in the vicinity and move on, possibly to pursue an IR plan in another market or keep their powder dry until the second phase of gaming liberalization in the country.
Melco Chairman and CEO Lawrence Ho observed, “For the past several years, we have worked with our partners to devise a superlative, world-class IR proposal that reflects the unique characteristics and culture of Yokohama and which would put the city on the global stage of tourism.
“Our proposal was focused on the Asian premium segment, our devotion to quality and craftsmanship, and our dedication to creating a world-class entertainment destination. We designed this resort in a way that reflected Melco’s focus on quality, demonstrating a respectful approach to partnership, developing the most advanced protection measures in the world, and with stringent ethical business conduct during the process.
“Unfortunately, the citizens of Yokohama have decided otherwise, and the mayoral election results give a clear verdict. The new mayor, having campaigned on an anti-IR platform, has now officially closed the door on the process we engaged in with our partners.”
Ho said he is “disappointed” but “grateful for the friendships that we have formed throughout the process and express our sincere gratitude to the people and government of Yokohama, as well as our business and community partners, for their tremendous support.”
He added that Melco continues to believe in “the long-term potential of the country and remain committed to developing the world’s best integrated resort in Japan. We will be closing our Yokohama office while maintaining a representative office in Tokyo.”
Melco’s IR concept was created by world-renowned architectural firm Zaha Hadid Architects, which designed the iconic Morpheus Hotel at City of Dreams Macau.
Genting Singapore Ltd., operator of Resorts World Sentosa in Singapore, had joined with Japanese entertainment and gaming conglomerate Sega Sammy Holdings for the Yokohama project. Shortly after September 10, when Yokohama officially canceled the IR bid process, Genting announced that its bid would be “discontinued.”
It added: “We are surprised and disappointed by the unexpected turn of events leading to the city’s decision to cancel the Yokohama IR bid.”
Genting Singapore said the company, together with its consortium and supporting partners, had devoted “considerable time” and “best efforts” to prepare and submit a “compelling bid” for a casino resort in Yokohama.
The group said its plan involved a “significant investment” that would “benefit the city of Yokohama and its community, and at the same time make Yokohama a world-class tourism destination.”
“The company would like to thank all parties who have supported and contributed to our Yokohama IR bid and we extend our best wishes to Yokohama city,” added the casino firm.
Meanwhile, Yamanaka has said he will “abolish” the local IR office on October 1.
In 2019, under former mayor Fumiko Hayashi, Yokohama had proposed a $3.6 million supplementary budget for promotion of its IR ambitions to cover financial years 2019 to 2021, reported GGRAsia.
