Concerns raised over Nagasaki IR plans and funding
Concerns regarding how the private partner could raise funds to develop an integrated resort in Nagasaki arose during the last Prefectural Council meeting.
Japan.- At the latest Nagasaki Prefectural Council meeting, questions were raised over whether the city’s chosen private sector partners would be able to raise funds and form an effective consortium to develop an integrated resort. A Nagasaki councillor has questioned whether Casinos Austria International’s estimated cost of capital would be sufficient.
In response, the county stated that it would soon submit a draft of its regional development plan to the relevant committee of the parliament, but there was no information on the construction of the consortium and fundraising.
In August, the Nagasaki Prefectural Government selected Casinos Austria International as its priority choice as a partner for its IR bid and the parties signed a master agreement under the name “Kyushu-Nagasaki IR”. The planned total investment for the IR development is JPY350bn (US$3.2bn) for eight hotels, conference and exhibition facilities and a variety of dining and retail options.
The Nagasaki Prefectural Government has previously said it expects the IR to open in 2027 and to generate annual gross gaming revenue (GGR) of JPY150bn (US$1.37bn). Lobby groups have called for a local referendum on the IR plans.
Wakayama: anti-IR group to demand referendum
Meanwhile, in Wakayama the Prefectural Government postponed the first of 14 public hearings on its IR plans as information on funding and the structure of the winning consortium is still pending. Campaigners in Wakayama have collected more than 8,000 signatures to a petition for a referendum on the city’s integrated resort plans. That’s more than 2 per cent of voters required to submit a referendum motion request.
The anti-IR group began collecting signatures and hopes to force a referendum that would allow voters to choose whether or not to support proposals for an integrated resort in Wakayama. It hopes to reach 20,000 signatures by December 5.
The group’s main objection to IR is the uncertainty around the nature of Clairvest Neem Ventures’ consortium, the selected partner for the planned integrated resort.
