New Casino Developments in Downstate New York

The landscape of downstate New York may soon witness transformative changes as the region anticipates the introduction of three new casino facilities. The New York State Gaming Facility Location Board recently set a new bid deadline for these casinos, pushing it to June 27, 2025. Meanwhile, a bill awaiting Governor Kathy Hochul’s signature proposes an earlier deadline, potentially altering the board's plans.

Authored by Senator Joe Addabbo and known as S9673A, the bill mandates that bidders submit their proposals by the end of summer 2024, significantly earlier than the board's planned deadline. This legislation, if signed, would override the facility location board’s decision and accelerate the entire process, a move that has sparked contention.

A Clash of Timelines

The New York State Gaming Facility Location Board expressed concerns regarding the tighter timeline dictated by the bill. “Politicians may want a quicker deadline, but that would be impractical,” noted Vicki Been. The board believes that meeting the hastened schedule might pose significant challenges, especially given the intricate requirements involved in the bidding process.

Integral to any bid approval are the prerequisites of 'entitlements and zoning' which must be secured in advance. Environmental impact studies and necessary zoning changes are key hurdles that bidders need to clear. For example, the proposals from Bally's in the Bronx and Steve Cohen’s venture in Queens both require a rezoning shift from their current parkland designations to accommodate the casino facilities.

The Contenders and Their Ambitions

A total of 11 bidders are vying to develop casinos in some of New York’s most coveted locations, including Times Square, Brooklyn, and beyond. These proposals are not only limited to the creation of gaming facilities but also envision resorts, housing units, and neighborhood improvements, per the application plans. The mix of commercial and tribal operators reflects the broad interest and diverse approaches to these development opportunities.

Among the 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 the operator yet to be determined, in Manhattan.
  • Wynn New York City: Related Companies, Oxford Properties Group, and Wynn Resorts in Manhattan.

Weighing the Potential Impacts

The New York State Gaming Facility Location Board, during their meeting on Thursday, acknowledged the potential conflict between their scheduled deadline and the stipulations of S9673A. Despite these concerns, the board remains optimistic that obtaining bids by the revised deadline will not impede the overarching objective of issuing licenses by the end of 2025.

“Because bids cannot be reviewed until all ‘entitlements and zoning’ are approved, the board views the current deadline as unreasonable,” the board stated. They hope that the reasoning behind their decision will be understood and considered by Governor Hochul when reviewing the proposed legislation. “The hope would be that our reasoning will be helpful to the governor,” added Vicki Been.

The outcome of this legislative and administrative interplay will undeniably shape the entertainment and economic landscape of downstate New York. The introduction of these new casinos, if executed as planned, holds the promise of bringing gaming and comprehensive development projects to some of the state’s most iconic areas. This transformative potential underscores the significant interest and high stakes surrounding the bidding process and subsequent developments in the coming years.