Osaka Awaiting Info from MGM Resorts to Address Confusion over IR’s Launch Date
Summary:
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The CEO of MGM Resorts recently stated that the Osaka IR would open in 2030
The casino complex was originally scheduled to launch in 2029
Osaka authorities are now seeking clarification from MGM Resorts on changes to the timeline
After being granted approval to develop a JPY1.08 trillion integrated resort in Osaka, the parties behind the project now appear to be at odds over the planned launch date of the casino complex.
This comes after MGM Resorts CEO and President Bill Hornbuckle stated during the company’s Q1 earnings call that the Osaka development would “probably” open in 2030. The group previously announced that the integrated resort would launch in 2029.
Osaka Authorities Seek Clarification from MGM Resorts
Apparently, the local governments in Osaka have yet to receive information from MGM Resorts as to any changes to the project’s timeline.
Authorities were surprised to learn that the opening date has now been pushed back to 2030, as per Hornbuckle’s recent statement. They are now seeking clarification from the company, though re-elected Osaka mayor Hideyuki Yokoyama assured that they would do everything in their power to open the integrated resort “as quickly as possible”.
Osaka’s Integrated Resort District Development Plan was granted approval by the central government in April. The Osaka prefectural and city governments are partnering with MGM Resorts and Japanese firm Orix to develop an integrated resort with a casino on the man-made Yumeshima Island in Osaka Bay. The development was originally slated to open before the end of 2029.
While the project has now received the go-ahead, the Osaka local governments and their partners still have some issues to resolve before they can take the next steps, according to industry analysts. These include concerns over the land at the site of the integrated resort, and the schedule of construction work which could conflict with World Expo 2025, a global exhibition that will take place on Yumeshima.
MGM CEO Statement “Not Official”
MGM Resorts and its local partner Orix also need to secure a land lease deal and enter into other agreements with Osaka authorities before they can proceed with the project, according to Hornbuckle during this week’s conference call. The MGM boss may have considered these factors when he changed the project’s opening date from 2029 to 2030.
But a representative of the group’s Japanese subsidiary, MGM Resorts Japan LLC, maintained that they would stick to the project’s original timeline as Hornbuckle’s statement “is not official”.
David WalkerAuthor
David is our resident 'down under' contributor, letting us know what is going on in the southern hemisphere, he is also keen blackjack player
