Osaka declares MGM-Orix winner of casino tender: report
The city and prefecture of Osaka in Japan have declared MGM Resorts International and Orix Corp the winners of their request for proposals (RFP) process for tilting the metropolis into a casino complex, the Nikkei Shimbun reported Thursday.
The decision was taken by the selection committee for developers of integrated hotel complexes set up by the local authorities. In Japan, large-scale casino complexes with tourist facilities are known as Integrated Hotel Resorts (RIs).
The MGM Resorts-Orix partnership was the only qualified consortium, following the Osaka tender process.
Later this month, Osaka Prefecture is expected to announce details of the plan submitted by the consortium, according to the report.
End of July, Osaka information disclosed of the consortium’s call for tenders, citing an investment budget of 1,000 billion yen (nearly 9.1 billion US dollars) and a first opening at some point in 2028 at the earliest, to 2030.
According to information gathered by the correspondent of GGRAsia, the second set of revised requirements by the Osaka authorities for exhibition and hotel space at IR is more flexible than previously announced. The new requirements allow the operator to make progressive extensions.
Regarding the exhibition space, the latest conditions allow the development of a facility of more than 20,000 square meters (215,278 square feet) at the opening.
Within 15 years of the opening of the IR, the total exhibition space must be greater than 60,000 m². Ultimately, it should be over 100,000 m².
For the hotel part, the IR must have an overall accommodation space greater than 100,000 m² at the opening. Finally, it should have more than 3,000 rooms.
MGM Resorts is the parent company of Macau casino operator MGM China Holdings Ltd. The latter saw his shares listed in Hong Kong almost 27% drop in Wednesday’s trade, following an announcement Tuesday by the Macau government regarding proposed changes to the legal framework for that city’s casino industry.