Hokkaido, Japan, which declined to apply for an integrated resort licence in 2019, has signalled its renewed interest.
In 2019, the governor of Hokkaido, Japan declined an opportunity to bid on an integrated resort (IR) licence in the prefecture, citing environmental reasons. But interest in an IR has endured, and now, Governor Naomichi Suzuki is listening.
“Circumstances are changing,” Suzuki said at a press briefing last month. “We view IR as a potential project that could contribute to Hokkaido’s development by attracting private investment and boosting tourism-related spending.”
Three licences, only one Japan IR approved
In 2018, the Diet passed legislation that would permit up to three IRs across Japan. The late Prime Minister Shinzo Abe promoted the developments as a way to increase foreign investment and international tourism.
Hokkaido initially was eager to join the bidding, with Tomakomai a leading candidate, and Hard Rock International the proposed operator. The site of choice: Uenae, near Chitose International Airport.
But the city’s hopes were dashed when rare and endangered bird habitats were identified in the surrounding forests. According to the Japan Times, with little time to assess the environmental impact, Suzuki declined to pursue a bid.
Impact of Covid-19
At the same time, interest in Japan — once called “the next holy grail” of global gaming — took a gut punch during Covid-19. Global operators slashed their capital budgets. One by one, big players (Wynn, Las Vegas Sands, Caesars, Genting, Galaxy, Melco) bowed out.
In April 2022, only two contenders, Osaka and Nagasaki, officially applied to host IRs. Of those, only one was approved. MGM Osaka, an $8.9 billion joint venture of the US gaming giant and local partner Orix Corp, is on track to open in 2030.
Hopes for a fresh bidding process revived last December, when the Diet approved the appointment of new gaming commissioners.
Former prosecutor Takafumi Sato, who helped develop the regulatory framework for Japan IRs, was tapped as chairman. Junichi Kakimizu, a former head of the National Tax College, also came on board. Psychiatrist Michiko Watari was reappointed as commissioner. They joined sitting members Hirofumi Kitamura, a former law enforcement official, and economics professor Keiko Ishikawa.
Interest still high in Hokkaido
Last month, the Hokkaido government surveyed local municipalities to assess their interest in developing an IR. Under new pro-IR mayor Suguru Kanazawa, elected in December, Tomakomai again raised its hand.
Kushiro Mayor Hidenori Tsuruma also is interested in the plan, which could establish Lake Akan as a tourist destination. However, Kushiro could also face pushback from environmentalists because of its natural splendours, including hot springs, and indigenous Ainu village.
Hakodate Mayor Jun Oizumi, too, has expressed interest, and said the city is in the information-gathering stage. In an October 2024 post, analyst Daniel Cheng wrote that Hakodate, in Oshima Subprefecture near Hokkaido, “would likely attract significant interest from international operators if the political climate favors the tendering of the remaining two casino licences”.
Residents of each proposed site also must get behind any plans. Hard Rock’s proposal, if revived, would transform the Tomakomai landscape with a guitar-shaped hotel, a Four Seasons Resort, a Hard Rock Live venue, and retail and dining facilities as well as a casino.
In a nod to local culture, the Hard Rock design also features “an authentic Ainu village experience, designed to help raise awareness for the local indigenous Ainu people”.
AloJapan.com