IRs could transform Japan’s hotel industry

The establishment of an IR in a major urban city such as Yokohama could spark a profound transformation of Japan’s hotel industry, according to a key observer of the market.

Minoru Murakami, senior managing director of the hotel industry focused Ohta Publications, tells Asia Gaming Brief in an exclusive interview that an urban IR is likely to produce something which simply doesn’t exist in today’s Japan—truly world class luxury hotels.

“The average daily rate of Japan’s current top hotels, after discounts, is about US$450,” Murakami observes, “but if you look at the global market—Paris, London, New York, the capital cities of the world—US$1,000 or $2,000 hotel rates are not so unusual. They have ten or twenty hotels like that. In Japan there are none.”

Murakami reckons that the establishment of an IR is precisely what will spur the development of the first of these highest class hotels in Japan.

He also states that Japan’s domestic hotel industry is taking notice, with top companies like Okura, the Imperial Hotel, New Otani, and Royal Park interested in partnership opportunities as the nation’s IR development moves forward.

More news from this jurisdiction

JapanThursday, Mar 22, 2018

The Japanese government leaked to the media on Thursday that operators are likely to be required to report any casino chip-cash exchanges that exceed 1 million yen (about US$9,500).

JapanWednesday, Mar 21, 2018

The Japan Gaming Congress expects to attract even greater support in 2018 after holding the largest event of its kind in Japan last year, organizer Clarion Gaming says.

South Korea, Mainland China, JapanTuesday, Mar 20, 2018

Mobile games are likely to grow by more than 8 percent per year through 2020, far outstripping growth for the PC and consoles, according to Daniel Kashti, chief marketing & commercial officer of Kama Games.

South Korea, Greater China, JapanTuesday, Mar 20, 2018

eSports global revenue for 2017 was estimated to be US$696 million and is expected to more than double to US$1.5 billion by 2020, with the Asia Pacific heading growth, according to Newzoo, a market intelligence firm.

JapanSunday, Mar 18, 2018

According to a local media report, the Tomakomai municipal authorities have compiled their interim report on the IR they hope to build, projecting a US$2-3 billion investment by the time the facility’s doors open.

JapanFriday, Mar 16, 2018

The IR implementation bill won’t be submitted to the legislation this month, as had been planned, throwing doubt over the timetable for the bill.

JapanWednesday, Mar 14, 2018

Six local medical and children’s organizations have presented a petition to the local government opposing any IR bid from within the prefecture.