The story takes place at Kai Kusatsu. “Kusatsu is the very model for Kai, isn’t it?” The relaunch of Kai Kusatsu began with this prideful declaration from project manager Ishii. The goal was to create the “ideal hot spring inn”—one that seamlessly fused the vibrancy of the hot spring town with the elegance of a traditional ryokan through its design. After the project was abandoned due to poor soil conditions, an unusual decision was made to purchase the adjacent lot. Beyond an 80-meter tunnel, where guests leave their daily lives behind, awaits an unprecedented retreat in Kusatsu—one that transforms the energy of the land into a truly exceptional experience. Ishii, head of planning and development at Hoshino Resorts, harbored a pride he would not yield to anyone. Driven by his strong passion for Kusatsu, he had acquired the land 20 years ago and envisioned the inn—yet it was a site where development had once stalled. His plan was to build a high-quality, sophisticated hot spring inn there that would rewrite the history of the “Kai” brand. And by interpreting Kusatsu—a hot spring resort town that is both distinctive and traditional—he aimed to build a hot spring inn that embodies the “Kai” brand’s concept: “Classic yet new.” That was the mission entrusted to Ishii—and the one he had set for himself.
In Search of the Largest Facility in the “Kai” Brand The site, adjacent to “Nishi-no-Kawara Park” in the heart of Kusatsu, boasts an impressive 111,844 m²—a prime location. Intense internal discussions ensued over how best to utilize this vast tract of land. Until then, Kai properties typically featured around 40 to 50 rooms. However, recognizing the potential of Kusatsu—a hot spring resort with overwhelming name recognition—the conclusion reached in the business plan was an unprecedented challenge: to create the largest-scale Kai property to date, with 94 rooms. “A sense of scale that fully utilizes the vast grounds, combined with the quiet relaxation of a hot spring inn. How can we satisfy these seemingly contradictory elements at the same time?” Ishii and his team began their search for a solution. Simply constructing a large building would have destroyed the atmosphere of the traditional inn that they had cherished. Therefore, they devised a design plan that kept the building low-rise so it would blend into the surrounding nature, while ensuring the entire facility came together beautifully as a cohesive whole.
A Plan That Seemed Perfect, and New Obstacles That Arose: The check-in experience, the layout of the building, and the concept for the dining areas. Ishii and his team refined the plan by discussing every detail of the guest experience—one by one—while at times engaging in heated debates. They designed the large public bath and lounge to be even more spacious than in previous facilities, and by dedicating a separate building to the “local culture” space—where guests could experience the region’s traditions—they were able to fully express its unique atmosphere. The decision to split the dining areas into two separate locations sparked particularly heated debate. Ishii proposed that they avoid making the spaces too large, so as not to detract from the ryokan’s traditional charm. Furthermore, he suggested taking advantage of the high foot traffic at Nishi-no-Kawara Park to designate one of the dining areas as a venue that would also welcome outside guests and serve lunch. However, this would complicate the physical infrastructure and significantly increase the operational burden. “Do we really need two separate dining areas?” The question sparked heated debates time and time again. Yet we were determined to realize the “ideal stay,” even if it meant overcoming the complexity of the physical infrastructure and the operational challenges. We shaped every aspect of the facility—sometimes clashing fiercely, but always through repeated discussion. Finally, just as all the plans had come together and the design was about to move to the next phase, a massive wall loomed before us. “On paper, everything looked perfect.”
Resistance to the Compromise of “Making Guests Walk”: In the Kai Kusatsu project, the “cliff” separating the hot spring town from the inn itself posed a major obstacle. “One of the greatest attractions of Kusatsu Onsen is the leisurely stroll to the ‘Yubatake.’ The route leading there must be planned as an extension of the guest experience at the facility, without interrupting the overall atmosphere.” This was the policy outlined by CEO Hoshino. To achieve this, it was necessary to connect the facility, situated on high ground, to the site below, which slopes down toward the hot spring town. Initially, we considered a “slope car”—a system also used at Kai Kinugawa and Kai Kirishima—but we had to abandon the idea when it became clear that the cliff’s geology was too fragile to allow for the installation of support piles. The “tunnel” we considered next was also deemed difficult to excavate because the ground at the planned site was loose and posed a risk of collapse. When water began to seep out during the borehole survey, a sense of despair hung over the site. Even Ishii, usually unfazed, reportedly thought, “This is bad…” “If neither the slope car nor the tunnel works, does that mean we’ll just have to have guests walk all the way up…?” Discussions continued late into the night during the company’s traditional ski retreat with Hoshino, as well as in the car while traveling between locations. Hoshino even suggested, “What if we built a lovely teahouse along the way so people could take breaks as they walk? Wouldn’t that be an experience in itself?” But Ishii’s vision remained unshaken. “If we do that, Kai Kusatsu won’t be complete.” If he was to achieve the perfection of a high-quality inn situated on a hilltop and blending seamlessly into nature, then access, too, had to be a special experience symbolizing an escape from the ordinary. “We don’t need to make do with a tea house; we need an experience that feels like warping instantly into another world.” Even when the situation seemed hopeless, Ishii refused to give up. As they persistently explored options—including discussions with the construction company’s tunnel engineering specialist—they discovered a single spot where there was a glimmer of hope: a location where a tunnel could be dug without the risk of a cave-in. “We can dig here—it’s the only route.” This was the solution they arrived at after continuing to explore options without giving up. It involved acquiring additional land from the neighboring property and digging the tunnel along a new route with solid ground. After negotiations to acquire the land—an all-or-nothing endeavor—the site was secured. Ishii no longer referred to it as a mere “passageway.” It was an 80-meter-long “barrier” designed to transform the bustle of Kusatsu into the tranquility of “Kai.”
© Source travel watch