Japan’s plan to legalize casino gambling hasn’t made it to the legislative floor yet, but the country already has one suitor prepared to shell out the big bucks into a Japanese casino.
James Murren, CEO of Las Vegas-based casino operator MGM Resorts International, told Reuters they are willing to invest between JPY500 billion and JPY1 trillion (USD4.8 billion-USD9.5 billion) to open an integrated resort in Tokyo, Yokohama or Osaka by 2022 or 2023.
“We think there would be a tremendous amount of demand, and ultimately a public listing of these types of Japanese resorts would be very appealing,” Murren told the news outlet.
Murren explained that the investment could be done via a publicly traded real estate investment trust (REIT), where an MGM-controlled operating company responsible for expenses and investment would pay rent to a property company owned by private investors as well as domestic and foreign companies.
“That could be an interesting way to expand the level of involvement, as there are many investors who are risk averse and looking for yield and others who are more risk tolerant,” he said, according to the report.
This isn’t the first time that MGM expressed its desire to invest in a Japanese resort. In 2014, Murren said his company is willing to spend between USD5 billion to USD10 billion to make its Japanese hopes and dreams a reality. Las Vegas Sands chairman Sheldon Adelson also vowed to spend up to USD10 billion if he’s granted a previous Japanese casino license.
Casino gambling is prohibited under Japan’s constitution, but multiple reports have surfaced over the past weeks about a plan to push for the legalization of casino gambling in the country. There is no guarantee that the so-called Integrated Resorts Promotion bill will make the legislative cut, and even if it does, there may not be enough time in the extraordinary session – which wraps up in late November – to address the always contentious casino question.
