The landscape of downstate New York may soon see transformative changes with the anticipated introduction of three new casino facilities. This move is a result of the New York State Gaming Facility Location Board’s decision to reopen the bidding process for these lucrative opportunities, setting a new deadline of June 27, 2025.
A New Deadline, but Potential Conflict
The path to reshaping New York's entertainment and economic environment through these casinos faces some hurdles. Currently, there is a bill awaiting Governor Kathy Hochul’s signature, which stipulates an even tighter timeline—a deadline of August 31, 2024. Authored by Senator Joe Addabbo, the bill identified as S9673A passed through both the house and senate in early June. If Governor Hochul signs this legislation, it would override the Location Board’s decision and press bidders to submit their proposals by the end of the summer next year, significantly advancing the timeline.
However, this accelerated schedule has raised concerns. The Gaming Facility Location Board voiced its reservations about the expedited timeline during their meeting last Thursday. The board emphasized that bids cannot be reviewed until all ‘entitlements and zoning’ are approved, making the current deadline impractical. A member of the board underscored this, stating, “Politicians may want a quicker deadline, but that would be impractical.”
Complex Approval Process
The complexity of the approval process adds another layer of challenges. Environmental impact studies and necessary zoning changes are mandatory preconditions that must be met before any bid can be properly reviewed. This reality places substantial pressure on some of the high-profile proposals which require rezoning from their current parkland designations. Among these are the Bally’s Bronx proposal and Steve Cohen’s Queens proposal.
Variety of Bidders
Despite these obstacles, the interest in developing new casino facilities in prime New York locations remains high, with 11 bidders in the mix. Proposals include not only casino facilities but also resorts, housing units, and neighborhood improvements. These bids feature a combination of commercial and tribal operators, each aiming to bring a unique touch to the urban and economic fabric of downstate New York.
Some notable proposals include:
- 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 the operator to be determined, in Manhattan.
- Wynn New York City: Related Companies, Oxford Properties Group, and Wynn Resorts in Manhattan.
Board’s Optimism Amid Challenges
Recognizing the potential conflicts between its decision and the stipulations of the new bill, the board remains optimistic. During the meeting, a sentiment was expressed that despite these hurdles, obtaining bids by the new deadline would not hamper the overarching goal of issuing licenses by the end of 2025. “The hope would be that our reasoning will be helpful to the governor,” a board member remarked, encapsulating the board's stance on the matter.
With a mix of iconic spots like Times Square and Brooklyn in play, the outcome of the bidding process could significantly reshape the entertainment and economic landscape of downstate New York. Bringing gaming and broader development projects into these areas introduces a new era that marries casino glamour with comprehensive neighborhood enhancements. As the process unfolds, all eyes will be on how these deep-pocketed bidders navigate the intricate web of approvals and legislative deadlines.