Hokkaido is gearing up to reassess its stance on the development of an integrated resort (IR) including a casino, as the local government has announced plans to revise its “basic stance” on the matter by autumn 2026. Governor Naomichi Suzuki announced this plan in response to questions from local assembly members, indicating that the matter is once again in the spotlight after a few years of careful consideration.

The revised document is expected to set out what has been described as a “Hokkaido-style IR concept”. This framework would likely serve as the foundation for any future decision on whether to move forward with a formal IR proposal. If the governor ultimately chooses to pursue the initiative, the prefecture would then need to prepare and submit an IR District Development Plan to Japan’s national government, as required under the country’s casino-liberalisation framework.

Budget for Research and Policy Groundwork

The renewed discussion around IR development in Hokkaido has been backed by funding earmarked in the prefecture’s draft budget. In mid-February, Hokkaido’s fiscal-year 2026 draft accounts indicated a possible allocation of JPY9.98 million, or around US$63,845 at current rates, to finance research and a review on the prospects of hosting a casino resort. This amount is intended to support studies and analysis that will feed into the update of the prefecture’s IR stance.

It is anticipated that, once the basic stance and concept are refined, Hokkaido will draw up a formal IR implementation policy. That policy would outline key requirements and expectations for any future IR project within the prefecture. After this, the government will be in a position to send out a request-for-proposal to all those in the private sector who are interested in being a part of a scheme to develop an integrated resort in the area. This follows a similar structure to what has been outlined recently in the Aichi prefecture on Honshu, a Japanese island, as it considers developing an integrated resort on a marine landfill area, including a section of Chubu Centrair International Airport, located south of Nagoya.

National Context and Renewed Operator Interest

Hokkaido’s move comes as Japan’s wider IR landscape enters a new phase. The country’s first IR application round, concluded in December 2023, resulted in a single successful project: the JPY1.51-trillion MGM Osaka scheme, which is scheduled to open at the end of 2030. In December, the national government announced a proposed timetable for a second round of IR applications, running from May to November 2027, giving prefectures like Hokkaido a clear window if they decide to compete.

At the same time, international casino operators have been signalling that Japan remains high on their list of targets. Last week, Macau-based Galaxy Entertainment Group Ltd, which had shown interest in Japan in the lead-up to the first application round, reiterated that the country is still seen as a very appealing opportunity. Around the same time, Bally’s Corp chairman Soo Kim described Japan as an extremely attractive market for IR investment, noting that the company would be ready to step forward if a suitable opportunity arises.

Local Momentum in Tomakomai

Tomakomai, the port city in Hokkaido, finds itself again at the heart of the IR debate in Japan. It has been considered one of the leading candidates if the Hokkaido prefecture chooses to advance with its IR bid. In the second week of February, the city’s mayor, Suguru Kanazawa, announced that the city would not pass up the opportunity to be considered for IR status whenever the time comes, reflecting the high enthusiasm for the IR bid.

Hokkaido itself has a history with Japan’s IR process. Although the Hokkaido prefecture had shown some interest before the first national bid round, it had reconsidered its decision by the end of 2019, before the bid was actually filed. With the planned upgrade of its basic stance by autumn 2026, it appears that the prefecture has reconsidered its decision based on the new national bid schedules, the renewed interest shown by the IR operators, and the enthusiasm shown by local cities such as Tomakomai for an IR-related bid.

Source: GGR Asia

AloJapan.com