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Japan plans ferry terminal for Yumeshima as MGM Osaka takes shape

Rajashree Seal
Written by Rajashree Seal

The Japanese government is planning to develop a combined ferry and cruise ship terminal on the northern section of Yumeshima Island, where the MGM Osaka integrated resort (IR) is under construction, according to a policy paper discussed by an advisory body under the Ministry of Land, Infrastructure, Transport and Tourism.

The proposal is included in the Port Plan for Osaka Port, which was discussed at a recent meeting of the Port Subcommittee of the Council for Transport Policy, an advisory body to Japan’s Minister of Land, Infrastructure, Transport and Tourism. According to GGRAsia, the policy paper proposes completing the terminal by the late 2020s, ahead of the planned opening of MGM Osaka in late 2030.

MGM Osaka, a JPY1.51 trillion (US$9.33 billion) integrated resort being developed by MGM Resorts International, Orix Corporation and other Japanese partners, is under construction on Yumeshima in Osaka Bay and is expected to become Japan’s first casino resort.

Policy aims to strengthen maritime access

Yumeshima already has a container port on the eastern side of the island. The proposed ferry and cruise terminal would be built on the northern section under Japan’s Basic Plan for Specified Port Facility Development Projects for Financial Year 2026.

The Port Plan for Osaka Port states that efforts are underway to establish Yumeshima as an international tourism hub, with the integrated resort scheduled to open around autumn 2030, creating a need to secure a wider range of transport options to improve visitor convenience and attract more tourists.

The policy paper also calls for the construction of new quay walls and wharf facilities to accommodate the scheduled Toyo ferry service, which currently operates from Osaka’s Nanko district. It adds that the facilities should also be capable of accommodating cruise ships to improve maritime access to the tourism hub while increasing the efficiency of transshipment operations.

The Nanko district lies southeast of Yumeshima. Osaka Nanko Ferry Port, also known as Osaka South Port, operates overnight domestic ferry services linking Osaka with destinations across Shikoku and Kyushu, including Shinmoji in Kitakyushu, Fukuoka Prefecture, and Toyo in Ehime Prefecture, as well as international destinations.

Wider redevelopment of Yumeshima

The proposed terminal comes as Osaka continues to advance the long-term redevelopment of Yumeshima beyond the integrated resort itself.

Earlier this month, Osaka authorities confirmed they would begin the request for proposal process for Phase 2 of Yumeshima, a development valued at around JPY1 trillion (US$6.25 billion). The project is intended to support the MGM Osaka integrated resort and redevelop land formerly used for Expo 2025 Osaka, Kansai.

Authorities aim to select a developer during the winter of fiscal year 2026-27 through a two-stage process involving an assessment of development proposals followed by a land price competition for the approximately 42-hectare site.

The recruitment process was delayed after revisions to the Phase 2 Master Plan requested by the Kansai Economic Federation. Under Master Plan Version 3.0, the revised development includes a Global Entertainment and Recreation Zone, Gateway Zone, IR Collaboration Zone, Exchange Zone, Osaka Healthcare Pavilion utilisation area and Memorial Park Zone.

The draft plan describes a vision of creating an international tourism hub that builds on the legacy of Expo 2025 while promoting entertainment, advanced technologies and sustainable urban development. Officials said the Gateway Zone is intended to facilitate the movement of people and goods into Yumeshima, while the Global Entertainment and Recreation Zone is designed to attract visitors from around the world.

During the Phase 2 planning process, Osaka City also confirmed that consortiums led by Obayashi Corporation and Kanden Realty & Development would combine their proposals for the redevelopment.

Construction progresses as Japan expands IR policy

Construction of MGM Osaka continues alongside the island’s wider redevelopment. Earlier this year, MGM Osaka Corporation announced changes to its leadership, with Nobuki Watanabe becoming representative director and chairman and Edward Bowers being reappointed representative director and president.

Speaking during MGM Resorts International’s first-quarter earnings call, chief executive Bill Hornbuckle said more than 40 per cent of the foundation piles had been installed or completed, the first concrete floor had been poured and the first structural steel had been erected. He said the project remained on schedule and within budget for its planned 2030 opening.

MGM Resorts expects to invest between US$200 million and US$225 million in the Osaka project during 2026, following a US$140 million contribution in the first quarter. The company has also disclosed guarantees worth JPY12.65 billion (US$81 million), covering 50 per cent of MGM Osaka’s obligations, along with an additional uncapped funding commitment, if required, for completion and opening.

Separately, Ed Bowers, MGM Resorts’ representative in Japan, was among eight senior business executives who recently met with Chief Cabinet Secretary Minoru Kihara for a courtesy meeting.

The latest infrastructure proposal also aligns with Japan’s broader integrated resort strategy. Under the Fifth Tourism Nation Promotion Basic Plan approved in March, integrated resorts remain part of the country’s tourism and MICE framework. The government has also scheduled a second round of IR district development plan applications between May and November 2027, while MGM Osaka remains Japan’s only approved integrated resort project.

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