Construction has officially begun on Japan’s first integrated resort (IR) with a casino. A groundbreaking ceremony took place on Thursday on Yumeshima, an artificial island in Osaka Bay, according to Japan Times.
Several local medai reported that the groundbreaking ceremony was attended by representatives from MGM Resorts International, Japan’s Orix Corporation, and local government officials. The event symbolised a formal start to the long-anticipated project, featuring a traditional sake barrel-breaking ritual. The JPY1.27 trillion (€7.8 billion) development, jointly led by MGM and Orix through the operating entity Osaka IR KK, is expected to open in 2030.
The resort is located next to the venue of Expo 2025, a major international exhibition being held on Yumeshima from April to October 2025. Concerns had been raised by the Expo organisers and business groups over the potential impact of construction work during the event, particularly with regard to noise and visual disturbances.
In response, Osaka’s prefectural government and the resort operator have introduced mitigation measures. These include scaling back construction on days with expected high visitor traffic and postponing heavy machinery operations until after the expo concludes in October 2025.
The resort’s expansive footprint will include 2,500 hotel rooms, a theatre with 3,500 seats, spa and wellness centres, and a wide variety of dining, retail, and entertainment facilities. Plans also call for about 400,000 square feet of conference space and 330,000 square feet for exhibitions, targeting both leisure and business tourism markets. Japanese legislation limits the casino floor to just 3 percent of total indoor space of the IR.
Despite this limitation, analysts forecast that the resort will be a key player in the regional gaming sector, rivalling destinations such as Macau and Singapore.
Infrastructure upgrades in the area have already begun to support the development and incoming visitor traffic. A metro station serving the area opened earlier this year, and a new overground railway extension from the Kintetsu Nara line is under development. This extension is scheduled to open before the MGM Osaka resort launches in 2030, improving connectivity to the city and surrounding regions.
According to local media reports, Japanese authorities are already planning a second development phase for Yumeshima to complement the resort. A request-for-proposal process is expected in the second half of 2025 to select developers for this expansion, which will include a “gateway zone” and a “global entertainment zone.”
The MGM Osaka project is the only IR licence granted since Japan legalised casinos in 2018. With backing from a consortium that includes Japanese companies like Panasonic and West Japan Railway, MGM Osaka is seen as a key part of Japan’s broader strategy to revitalise tourism and boost regional economies.