A plenary session of the Nagasaki prefectural assembly voted on Wednesday (April 20) in favour of the final draft of the IR District Development Plan outlining the Japanese metropolis’ proposals for a casino complex.
The prefecture will now have to submit the plan to the national government before the April 28 deadline, according to GGRAsia’s Japan correspondent.
That final draft of the plan had been published by the prefectural government on Monday. On Tuesday, the general committee of the assembly had voted in favour of the plan.
The slated cost for the Nagasaki scheme is JPY438.3-billion (US$3.5-billion), including JPY175.3-billion via equity.
According to GGRAsia’s Japan correspondent, the update on the IR plan only mentions Casinos Austria International Japan Inc, Nagasaki’s private-sector partner, as an equity investor.
Of the total JPY438.3-billion cost, JPY263.0 billion would be via debt. No mandated lead arranger has yet been identified in documentation made public, according to GGRAsia’s correspondent.
Last week it was reported that CBRE Group Inc, an American commercial real estate services and investment firm, would have some involvement in the funding arrangements.
Up to three casino resorts will be permitted nationally under the liberalisation programme. The country’s government requires IR District Development Plans to include documentation as evidence of ability to raise funds for such schemes.
Such paperwork should be in the form of what is referred to as “commitment letters”, regarded by the Japanese authorities as legally binding in relation to certain conditions, according to GGRAsia’s Japan correspondent. But the local prefectural government “decided not to show the commitment letters” to the assembly, according to a committee discussion.
On Friday, Sasebo City council formally registered a vote in favour of Nagasaki’s IR District Development Plan. The resort would be located at the Huis Ten Bosch theme park (pictured) in Sasebo City, part of Nagasaki prefecture.
