Japan is anticipated to reopen the bidding process next year for the last two casino licenses sanctioned by legislation from 2018. Recent reports indicate that at least one prominent prefecture is keen on capitalizing on this gaming opportunity.

The Cabinet of Prime Minister Sanae Takaichi has committed to enhancing Japan’s image as a “tourism nation” as of April this year.

This announcement highlighted that Takaichi, president of the Liberal Democratic Party and a follower of the late Prime Minister Shinzo Abe—who was a strong proponent of the 2018 casino legislation—plans to continue promoting the expansion of Japan’s leisure offerings. The integrated resort legislation aims to establish Japan as a top-tier destination for international MICE (meetings, incentives, conventions, and exhibitions) events across Asia.

GGRAsia, a leading online publication specializing in gaming news throughout Asia, reported today that Hokkaido is reigniting its interest in the upcoming integrated resort (IR) sector. Nearly six years after the gaming law was enacted, only one casino initiative, the ¥1.27 trillion (US$7.8 billion) MGM Osaka, has received approval.

Hokkaido Gauging Interest

GGRAsia indicates that Hokkaido Prefecture plans to reach out to global casino operators and assess banks’ readiness to take part in a prospective multibillion-dollar casino resort venture.

Although Hokkaido is the second-largest prefecture by land area in Japan, it ranks ninth in population, boasting around five million residents. This northernmost prefecture contrasts with Osaka, which has a population of 8.8 million and is the third most populous region in the country.

Previously, Hokkaido showed interest in a casino, with Sapporo identified as a potential location. Notably, Sapporo is home to Japan’s oldest beer brand, even though the Sapporo Brewery is now based in Tokyo.

In 2019, Mohegan, the commercial gaming division of the Mohegan Tribe from Connecticut, established an office in Tomakomai, Hokkaido.

“Our Tomakomai office will not only showcase Mohegan’s corporate profile but also its corporate philosophy, corporate social responsibility (CSR) business model, and an integrated resort vision statement,” a company release stated at the time.

Unfortunately, Mohegan’s presence in Hokkaido was short-lived, as its Japan IR headquarters was shuttered by the end of 2019. The company shifted its focus to South Korea, a decision that ultimately proved unsuccessful, leading to a loss of $1.6 billion on the Inspire Entertainment Resort investment.

Will Major Players Like Sands or Wynn Engage?

Once regarded as the most promising market opportunity since Macau opened its doors to new gaming operators, interest in Japan has become more tepid. Hokkaido’s entry into the market might not significantly alter this landscape.

Leading global casino corporations, including Las Vegas Sands, Wynn Resorts, and Caesars Entertainment, are likely to remain cautious unless a major urban center such as Tokyo or Yokohama opts to participate.

As of now, these three companies have not publicly expressed any interest in the anticipated bidding window set for 2027.