News On Japan

Otaru Redevelopment Plan Effectively Frozen

HOKKAIDO, Jun 14, 2025 (News On Japan) - A former resort area in the Otamoi district of Otaru City has hit a major roadblock in its redevelopment plans. "This is the Otamoi coastline," explained a Ryugu Cruise guide. "There used to be a building here called Ryugukaku, a high-end restaurant. It's hard to believe."

Perched alone on a 40-meter-high cliff stands a structure resembling a small shrine, the remains of an amusement park that once operated here in the early Showa era.

The site, offering sweeping panoramic views, became the focus of a new project launched in 2021.

"This is magnificent, very Hokkaido-like," Nitori Holdings Chairman Akio Nitori remarked in 2022. "Visitors from Honshu would be deeply impressed."

Nitori proposed redeveloping the site into a new tourist destination, presenting the idea to local business groups.

However, four years later, progress has stalled.

Standing at the parking lot overlooking the Otamoi coastline, a reporter noted that the entrance to the former Otamoi Amusement Park, once known as 'Yumenosato,' still remains. Signs warn of landslide danger, and the area is now off-limits.

In the early Showa era, the northwest part of Otaru was home to one of Hokkaido's premier leisure facilities: Yumenosato Otamoi Amusement Park. With entertainment halls and beaches, the park attracted thousands of visitors daily during the summer season.

Its centerpiece was Ryugukaku, a luxurious restaurant that seemed to float above the sea like a "castle in the sky," beloved by business leaders and cultural figures of the time.

However, in 1952, Ryugukaku was destroyed by fire and closed down. Frequent landslides eventually forced the closure of the walking trails, and the once-celebrated Otamoi Amusement Park faded into obscurity.

Moved by the dramatic scenery, Nitori in 2021 donated 50 million yen to the Otaru Chamber of Commerce and Industry to fund redevelopment studies.

"It was breathtaking to discover such a thrilling and dramatic landscape in Hokkaido," Nitori said at the time.

Plans included building an observation terrace reminiscent of Ryugukaku and installing a zipline across the cliffs. In 2022, Nitori expressed hope that with participation from tourism associations, the national government, and local communities, the project could be completed within three to five years.

But the Otaru Chamber of Commerce has since announced that the plan will be postponed.

The council, comprising the chamber and local tourism associations, has effectively decided to freeze the project. According to the council, the city of Otaru has raised safety concerns over the area and has prioritized other administrative issues. As a result, securing the estimated 1.5 billion yen in private sector funding has been deemed unrealistic.

"It’s disappointing," said one Otaru resident. "I was hoping to see Otaru revived and bustling again." Another resident added, "Renovating the area would likely cost a lot."

Toshio Ebina, president of Hokuo Sangyo, which operates cruise ships in Otaru, had also placed high hopes on the project.

"Otaru offers a perfect combination of sea, mountains, and tourism," Ebina said. "If this project doesn't move forward, a major gap will remain in Otaru’s tourism industry."

Source: HBCニュース 北海道放送

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