The landscape of downstate New York might soon witness an upheaval, with the potential addition of three new casino facilities poised to transform the region. This pivotal development follows the New York State Gaming Facility Location Board's decision to set a new bid deadline for June 27, 2025.
Legislation in the Works
In the legislative arena, a bill with an earlier deadline—August 31, 2024—is currently awaiting Governor Kathy Hochul’s endorsement. If approved, this legislation will override the board’s decision, compelling bidders to submit their proposals by the end of summer 2024. The brain behind this bill, known as S9673A, is Senator Joe Addabbo. It advanced through both the House and the Senate in early June, signaling legislative momentum.
The facility location board has raised concerns regarding the ambitious timeline set by the bill. “Politicians may want a quicker deadline, but that would be impractical,” remarks Vicki Been, emphasizing the logistical hurdles involved.
Critical Approvals Needed
Before any bids can be evaluated, certain preconditions—such as obtaining ‘entitlements and zoning’ approval—must be met. These preconditions incorporate rigorous environmental impact studies and necessary zoning changes. Without these, the board regards the current deadline as unreasonable. “Because bids cannot be reviewed until all ‘entitlements and zoning’ are approved, the board views the current deadline as unreasonable,” the New York State Gaming Facility Location Board stated.
Two specific proposals, Bally’s Bronx and Steve Cohen’s plan for Queens, highlight these zoning challenges. Both projects would require a rezoning from their current parkland designations to accommodate casino facilities.
Competitors Line Up
The competition to secure the development of these casino facilities is fierce, with 11 bidders eyeing prime locations from Times Square to Brooklyn. These proposals encompass not only casino facilities, but also resorts, housing units, and neighborhood improvements, featuring a blend of commercial and tribal operators.
Among the notable proposals are:
Avenir: Silverstein Properties and Greenwood Gaming in Manhattan
Bally’s Links at Ferry Point: Bally’s Corporation in The Bronx
Caesars Palace Times Square: Caesars Entertainment, SL Green, and Roc Nation in Manhattan
Coney Project: Thor Equities, Legends Entertainment, the Chickasaw Nation, Saratoga Casino Holdings in Brooklyn
Freedom Plaza: Soloviev Group and Mohegan Gaming in Manhattan
Metropolitan Park: Steven Cohen and Hard Rock International in Queens
MGM Empire City: MGM Resorts International in Yonkers
Resorts World New York City: Genting Group in Queens
Sands New York: Las Vegas Sands in Nassau County, Long Island
Saks Fifth Avenue: Hudson’s Bay Company with an operator to be determined in Manhattan
Wynn New York City: Related Companies, Oxford Properties Group, and Wynn Resorts in Manhattan
During a recent meeting, board members acknowledged the potential conflict between their decision and the requirements stipulated in S9673A. Still, they remain optimistic that the new bid deadline will not hinder the primary objective of issuing licenses by the end of 2025. “The hope would be that our reasoning will be helpful to the governor,” Been added, underlining the board's cautious but hopeful stance.
As these deliberations unfold, the stakes for downstate New York are monumental. The culmination of this process could not only reshape the entertainment landscape but also spur economic growth, injecting new vitality into some of the state's most iconic areas. The forthcoming months are likely to reveal how these high-stakes games will play out—both on the legislative floor and within the competitive bidding war.