Japan approves new implementation plan for Osaka developments

The central government of Japan has approved an implementation agreement drafted by Osaka Prefecture and the MGM Resorts consortium for the development of an integrated resort on Osaka’s Yumeshima Island, paving the way for a formal agreement to be inked within the next month.

Tetsuo Saito, Minister of Land, Infrastructure, Transport, and Tourism, announced the approval on Friday, eight days after Osaka Prefecture submitted a revised agreement. This revised agreement moves the opening date back by one year to 2030 and increases the anticipated initial investment by approximately US$1.3 billion to JPY 1.27 trillion (US$8.60 billion) as a result of rising construction material costs.

Now that sanction has been obtained, it is anticipated that Osaka and its preferred IR partner, a consortium headed by MGM Resorts and local company Orix, will execute the implementation agreement within the next month. After the contract is signed, the consortium is anticipated to begin ground liquefaction countermeasure work this fall, with construction of the primary facility commencing in the spring of 2025.

The IR is anticipated to feature 2,500 hotel accommodations across three hotel brands, 730,000 square feet of MICE space, and tourism facilities showcasing the finest of Osaka and Japan upon completion.

Original story by: IAG