MGM Osaka Integrated Resort Raises Budget to Over $10 Billion

Japan’s long-awaited integrated resort (IR) in Osaka has taken another major step forward with a revised development plan that pushes the project’s total budget higher than initially expected. Authorities confirmed that rising construction costs have increased the estimated investment to JPY1.51 trillion (about US$10.2 billion), making it one of the largest resort undertakings in Asia.

Good to know

• MGM Resorts International and Orix Corp now each hold 44% of the Osaka IR project.
• Construction costs have surged by over JPY300 billion due to material and labor prices.
• The resort is scheduled to open in autumn 2030 on Osaka Bay’s Yumeshima island.

When Osaka’s prefectural government first shared details earlier this year, the total budget stood at JPY1.27 trillion. The updated document shows that construction alone is now expected to reach JPY1.04 trillion, well above the earlier JPY722 billion forecast.

To keep the project on track, both MGM Resorts International and Orix Corp have boosted their equity commitments to JPY428 billion each, raising their stakes from 41% to 44% apiece. This adjustment underlines how central the two companies are to delivering Japan’s first casino resort. Several other Japanese businesses remain involved as minority investors.

What the Resort Will Feature

The property, called MGM Osaka, is set to deliver far more than a casino. According to the plan, the resort will include 1,829 hotel rooms, 10 luxury villas, large-scale convention space, entertainment facilities, and restaurants showcasing both Japanese and international cuisine.

The casino floor itself will span 23,293 square metres (around 250,724 sq. feet), only slightly larger than earlier projections. Even with a modest increase in gaming space, the focus remains on creating a destination that blends leisure, business, and cultural appeal, reflecting Japan’s careful regulatory approach to IRs.

Construction Timeline and Financing

Work officially began with a ground-breaking ceremony in April, while the first construction of the foundation had already started in December of 2023. Construction is targeted for completion in the summer of 2030, with an opening penciled in for the autumn. The site sits on Yumeshima, an artificial island in Osaka Bay that is also set to host the World Expo in 2025, giving the area additional global visibility.

MGM executives have been transparent about the financing structure. Jonathan Halkyard, the company’s chief financial officer, said earlier this year that the project has a JPY530-billion credit facility ready to activate in 2028, bridging funding through to completion.

Sarah Rogers, MGM Resorts’ senior vice president of corporate finance, recently noted that the group plans to spend about US$300 million in 2025 and between US$500 million and US$600 million annually in the following years. She added: “We have the financing in place for Japan and, as of the last quarter, it is JPY380 billion, and spot at the time had us at US$2.6 billion.”

Japan’s decision to authorize integrated resorts has been years in the making. MGM Osaka will be the country’s first IR project, positioning Osaka as a key tourism hub in Asia. With a mix of gaming, hotels, cultural attractions, and convention facilities, the development is expected to drive both domestic and international tourism.

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