Nagasaki selects Casinos Austria Internatonal to operate integrated resort

The operator has been selected as the “priority negotiation right holder”, meaning it will have first rihgts to negotiate with the prefecture’s government on terms to build the resort.

The resort is set to be built on the site of Huis den Bosch theme park in the city of Sasebo.

The resort will form part of Japan’s IR  project, which was greenlit by the government in July 2018, and aims to encourage tourism with sites featuring multiple commercial and cultural attractions. 

Legislation states that the resorts can dedicate no more than 3% of their floorspace to gambling, while local citizens will be required to pay an entry fee.

Initially, five companies put themselves forward, with all five invited to submit initial questionnaires. 

However, this was reduced to three finalists – Casinos Austria International, Niki Chyau Fwu Group and Oshidori International Development, which had partnered with US-based Mohegan Sun –  in March

Last week, Oshidori then announced that it had withdrawn from the bidding process, leaving only Casinos Austria International and Niki Chyau Fwu Group – a joint venture between Japenese commercial real estate developer The Niki Group and Taiwanese construction business Chyau Fwu Group.

Oshidori said it did not approve of the development and operation rules imposed by the prefecture and that the request for proposals process was not being implemented ethically or fairly.

In a statement, the business also said it had encountered “multiple suspicions of ethical fraud in the RFP process”. It concluded that it could only participate in a selection process which is transparent and professional.

Despite Oshidori’s withdrawal, it was still selected as the “runner-up” bid, in the event Casinos Austria International’s construction and operation of the resort cannot be completed.