The governor of Osaka, Japan, concedes that it will be “difficult” to open a planned integrated resort (IR) in the vicinity by the scheduled date in 2029.
Hirofumi Yoshimura says the opening of the IR, to be developed on Yumeshima Island, will likely be pushed out to 2030 due to the central government’s protracted approval and certification process. The $10 billion resort with a casino will be developed by MGM Resorts International and its local partner, the Orix Corp.
“Until now I have only mentioned the possibility of delays,” Yoshimura told reporters last week. But MGM CEO and President Bill Hornbuckle told analysts during an earnings call in May that he didn’t expect the Osaka IR to open until “the first or second quarter of 2030.”
“We’re looking to break ground either late this year or first quarter next year,” Hornbuckle said, “and it’s between a four-and-a-half to five-year build. … So we’ve got some time to go. There’s obviously a lot of work to be done.”
Before the pandemic, the project was set to open in 2025, to coincide with the World Expo, to be held on the manmade island in Osaka Bay.
According to GGRAsia, Osaka lawmakers have also extended to September the deadline to sign an implementation agreement with MGM and Orix. During that period, the development partners can terminate their agreement with the Osaka government, which was signed in February 2022.
In related news, Governor Shuhei Kishimoto of Wakayama Prefecture has said his government should consider the possibility of developing an IR if and when the national government accepts more applications.
When IRs were first approved by the Japanese parliament in 2016, lawmakers made up to three licenses available. Nagasaki submitted an application, which is still being evaluated. And in April 2022, Wakayama’s prefectural assembly rejected an IR plan, citing concerns over funding and the developer’s abilities. To date, only the Osaka proposal has been approved.
