Key Facts
• June 13, 2025: Niigata City Council opened its June session.
• Mayor Yaichi Nakahara proposed waiving $9 billion in debt for Nishibori Rosa.
• Nishibori Rosa, an underground shopping mall, ceased operations in March 2025.
• Niigata Underground Development, the mall operator, requested debt forgiveness in May 2025.
• Remaining assets, including facilities, offered to the city for free.
• Mayor cited aging properties and low marketability as reasons for debt waiver.
• $129.4 million supplementary budget also proposed, including earthquake response measures.
• Mayor Nakahara proposed reducing his salary as accountability for management oversight.
• City Council vote on the proposal scheduled for July 3, 2025.
Summary
Niigata Mayor Yaichi Nakahara has proposed waiving $9 billion in debt owed by Niigata Underground Development, the operator of the now-closed Nishibori Rosa shopping mall. The company, citing severe financial difficulties, ceased operations in March 2025 and requested debt forgiveness in May, offering its remaining assets to the city at no cost. Mayor Nakahara explained that the aging and specialized nature of the underground property made its sale unfeasible, leaving debt forgiveness as the only viable option. Additionally, the mayor proposed a $129.4 million supplementary budget addressing earthquake response and other projects. Acknowledging management shortcomings, Nakahara also suggested reducing his salary. The city council will vote on the proposal on July 3, 2025.
