MGM Resorts International’s proposed Japan integrated resort would generate more revenue than most other IRs in Asia and tax revenue of around US$1.5 billion annually, according to the President and CEO of its Japanese subsidiary, Ed Bowers.
Providing insights into MGM’s plans for an IR in Osaka, should it be granted a concession by the central government later this year, during a keynote speech the G2E Asia Special Edition: Singapore conference on Wednesday, Bowers said he expects the property to provide a major financial boost for the Kansai region and the nation as a whole.
“This will be the most expensive IR ever built in Asia,” he said. “The project will employ around 15,000 people.
“Between casino tax and entry fee payments we expect the project to contribute around JPY106 billion annually to the city and the prefecture of Osaka, which depending on the prevailing exchange rate will equate to between US$800 million and US$900 million (currently US$773 million).
“An equal amount will also be contributed to Japan’s national government.”
Bowers said revenues at MGM’s Osaka IR would “exceed those of most other IRs in Asia based on the Kansai region’s population base of around 25 million, proximity to three major airports and connection via high-speed rail to other major metropolitan centers around Japan, specifically Tokyo.
Although the company has yet to be given the green light for its IR proposal, Bowers expressed confidence in what MGM has put forward with a final decision expected as early as next month.
Providing an update on the process, he said, “We are currently focused on the preparation of schematic design drawings and on the completion of geological surveys of the site. After we receive approval from the central govt we will move into detailed design work with a view to commencing site work by mid 2023.
“If approved we are hopeful to complete construction and open the IR by the end of 2029.”
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