A recent report that was disclosed on Calvin Ayre showed that the government in Wakayama has concluded plans to launch an RFP (Request For Proposal) process in 2020. This process will require partners from the private sector who would like to help in the development and strategy of a state of the art Integrated Resort (IR) in the area.
The groundbreaking plan was announced on the 10th of December at the region’s assembly. According to several news reports, the plan supposed to start the RFP in the middle of this year and to have selected a partner from the private sector partners before the end of next year.
The basic concept of the IR was first announced by Wakayama authorities in 2018. The primary aim was to build a resort-style project that will utilize the natural tourist attractions that abound in the region. This includes both Mount Koya and Shirahama.
An initial draft of the policy that set the conditions for Integrated Resort operators was released in September. At this time, the plan is to complete that draft by January next year. The moment it receives approval from the national government, it’ll be published. The goal is to implement the policy by spring of next year.
From the look of things, the plan has garnered a lot of support. At an assembly meeting held on the 3rd of December, the cost of the project was outlined. As it stands, Wakayama would have to dole out the sum of JPY7.7 billion ($71 million) to buy the perfect site for the Integrated Resort. On Monday, it was stated that the land for the Marina Casino was acquired as part of the deal made with the Wakayama Region.
According to the terms of the deal, the southern Honshu region is expected to pay a sum of 7.7 billion Yen (an equivalent of $70.8 million). This is for the 50.7-acre real estate situated on the island of Osaka Bay.
In addition, there are reports that the deal also comes with a small piece of real estate that is being sold for a proposed Las Vegas styled development. The only thing holding this deal back is if the Wakayama region is selected as one of the three regions that will be given a gambling license from the government of Japan.
For now, Wakayama has to wait for the national government to make a decision patiently. Their plan of launching the RFP in spring strongly depends on authorities at the national level. They have to complete the basic Integrated Resort plan by January next year. A number of people expect the finished basic policy to be announced before the end of March next year.
At present, there is a general belief that 9 separate regions are battling for one of the three available casino licenses. The schedule for when the licenses will be approved hasn’t been disclosed, and none of the 3 may be issued before the end of 2022.