Wakayama Prefecture in Japan has announced that it is joining Osaka in its quest to host one of the country’s first three integrated resorts.
According to Inside Asian Gaming, the prefectural government has formed an eight-member committee tasked with bringing an IR to Marina City, a 99-acre artificial island in Wakayama. According to local media, the committee is headed by Haruo Shimada, an economist and president of Tokyo Metropolitan University. It also includes Shosuke Mori, counselor of the Kansai Economic Federation, and Hidetaka Saeki, honorary fellow at Kyoto University Graduate School of Public Policy and an author of a book on casinos.
Governor Yoshinobu Nisaka said the committee reflects “various specialist fields that represent Japan.” At the same time, French gaming operator Groupe Barrière opened an office in Wakayama on May 14.
Wakayama’s bid may be compromised by its proximity to Osaka, long considered the front-running IR site and the target of global gaming operators including MGM Resorts International. According to GGRAsia, Wakayama City, the capital of the prefecture, is only 48.5 miles from Osaka City, capital of Osaka Prefecture. Osaka’s request-for-concept phase began on April 25 and will end on May 24.
Meanwhile, Melco Resorts & Entertainment Chairman and CEO Lawrence Ho says MGM’s partnership with Japanese financial services group Orix Corp., which has an office in Osaka, would make them the ones to beat for the Osaka IR license.
“Of course that puts them in a very good position,” Ho said of the partnership. “But at the same time, between the various regions, we have had a lot of dialogue with potential partners and stakeholders and associations. We will continue to monitor not only the Osaka bid, which is probably going to come first, but also more importantly, the Kanto bid and also the regional bid.”
Ho has stated that Japan is “our single most important initiative.”
Another favorite to win an IR license in Japan is Genting Singapore Ltd., according to a May 10 note from PublicInvest Research. “We believe GENS stands a good chance in securing one of the three IRs in Japan, backed by its track record in operating a successful and large-scale integrated resort in Singapore,” said the note. According to the Sun Daily of Malaysia, Hong Leong Investment Bank concurs with that opinion.
