The authorities in Osaka city, in Japan, say they will start between late June and early July a request for proposal (RFP) process for facilities in Phase 2 of Yumeshima, an artificial island in Osaka Bay (pictured in a file photo) that will be home to MGM Osaka, Japan’s first integrated resort (IR) with casino.
The aim is to choose a developer for Phase 2 by the winter of financial year 2026-27, per the outcome of a Wednesday meeting. Phase 2 – to have a development cost of circa JPY1 trillion (US$6.25 billion) – is designed to support the MGM Osaka project.
The JPY1.51-trillion casino scheme – involving Osaka city and prefecture, and their commercial partners MGM Resorts International, Japan’s Orix Corp, and other local companies – is due to be completed by the end of 2030 and forms the core of Phase 1.
According to GGRAsia’s Japan correspondent, the city will take two steps for the selection of the Phase 2 developer. Step one is to examine the content of proposals and step two is a price competition for purchase of the relevant piece of land, said to be circa 42 hectares (103.8 acres).
An RFP for Phase 2 had been scheduled for last year, but was delayed due to changes to the Phase 2 master plan, made at the request of the Kansai Economic Federation, according to GGRAsia’s correspondent. The Phase 2 master plan ‘3.0’ now sees the original 50-hectare footprint available for commercial-sector use, reduced. That is to account for a 2.9-hectare ‘memorial park’; a 1.5-hectare ‘Osaka Healthcare Pavilion Site Utilisation Zone’; and a balance of 3.6-hectares for other yet to be defined purposes.
At Wednesday’s meeting, the Osaka city authorities disclosed that on May 27, two groups – led respectively by Obayashi Corp and Kanden Realty & Development Co Ltd, and which had previously made Phase 2 proposals deemed ‘excellent’ by the authorities – would merge their Phase 2 effort.
Obayashi Corp and Kanden Realty & Development are among the minority investors in the MGM Osaka scheme itself.
One of the proposals, involving Obayashi Corp as the principal and six other companies, suggested a large arena, motor sport facilities including a racing circuit, an automobile-themed park, and a luxury hotel.
The other suggestion consisted of Kanden Realty & Development as the principal, alongside Keihan Holdings, Sumitomo Corp, Takenaka Civil Engineering & Construction Co Ltd, Nankai Electric Railway Co Ltd, and Yoshimoto Kogyo Holdings.
Its proposal involved a resort complex featuring distinctive luxury hotels; water parks; and a variety of commercial facilities.
AloJapan.com