Casinos Austria Officially Partner With Japanese Nagasaki IR
Casinos Austria and Nagasaki IR announced their official international partnership with the wide ambition to create an integrated resort. After an extensive negotiation window, they finally settled on a suitable agreement to benefit both parties. The plan to build an integrated resort in Sasebo City in Nagasaki is set to go ahead, with construction planned to begin by January 2022. This partnership is a big step for Casino Austria as they look to expand their brand across the globe while maintaining a strong European presence.
Casinos Austria have agreed to a long-term partnership with Japanese casino conglomerate Nagasaki IR. Plans to build an integrated resort in Japan are already underway, an exciting prospect for a company formerly shadowed by its state-owned competitors. ?AidenHowe/Pixabay
In order to establish a degree of trust, Nagasaki IR representatives issued an RFP (request for proposal), a process that announces a project and allows qualified parties to bid on the contract for future completion. Casinos Austria topped the list, outshining many of their national contemporaries, rewarded with the agreement to create an integrated resort alongside Nagasaki IR, a highly successful conglomerate of casino franchises. While they battle against state-owned casinos, they have a wide array of businesses to maintain.
They currently own 12 different casinos across Austria, 8 of which are in the capital of Vienna, one of Europe’s hotspots for casino gambling. A booming cultural district and strong economic stability have made the city a popular tourist destination for European and international casino goers. The Austrian parent company also controls several investment firms, holding connections to other gambling-related businesses as well as many small tech start-ups. In July 2020, Casinos Austria went through a thorough board restructure.
An exciting new venture such as a new resort in Japan is a massive opportunity for Casinos Austria to branch out. There was plenty of trepidation before any deal was officially ratified; however, analyst research made some bold predictions of the success of the new casino resort. The new resort includes over 2,000 slot machines and over 200 different game tables for poker and other card games. An estimated 8.5 million people are expected to visit every year, securing planning permission, and 2022 will be a busy year for all construction firms involved.
The project is estimated to cost over €2.6 billion, featuring a massive casino resort that will cover roughly 3% of the city’s total area. Another European themed park has begun construction nearby, and Dutch funded Huis Ten Bosch is estimated to be half the size of Nagasaki IR’s project. Together, both resorts will have a massive local and foreign appeal, encouraging Europeans to venture into Asian territory to experience a different kind of gambling adventure.
What is an Integrated Resort?
A term coined by the Singaporean business elite, an integrated resort is a major property that includes all manner of luxury facilities, including casinos, dining, theme parks, leisure areas and spas, just to name a few. It also means integrating two companies, working as one brand to capitalize on each other’s resources and user bases. Nagasaki IR masterminded this formula and have built integrated resort across Japan for the last couple decades. The new resort in Sasebo City will be their 5th Japanese outing.
The major benefit of an integrated resort is its yearly revenue streams; a successful resort can bypass seasonal holiday disruptions and maintain a high number of customers all year round. Since Nagasaki IR have multiple Japanese casinos, they can increase their consumer uptake across the board by diversifying the appeals of each of their businesses to different demographics. Like Las Vegas, the aim of the game is to make an iconic resort with a memorable outer shell and maintain an excellent standard of customer service.
Despite all the praise at the prospect of a fantastic new resort, Casinos Austria’s contemporary’s recently made their voices heard, complaining to official regulators about the opportunity of Casinos Austria swallowing a majority of the market. They’re also angry with Nagasaki IR for awarding them the contract without proper research, and an unfair contract proposal may lead to an unbalanced market, potentially affecting the future of many of Casinos Austria’s competitors.
