High-Stakes Debate: New York's Casino Expansion Push

The landscape of downstate New York is poised for a transformative shift with the potential introduction of three new casino facilities. Action in this high-stakes arena centers on two critical dates: June 27, 2025, and August 31, 2024. Each date signifies a divergent path for developers and legislators, reflecting a broader debate over timing and readiness in the push to expand the state’s gaming footprint.

A New Bid Deadline on the Horizon

The New York State Gaming Facility Location Board recently made a pivotal decision to establish June 27, 2025, as the new bid submission deadline for potential casino operators. This timeline aims to ensure a thorough review process, addressing the Board's concerns about the complexity of the bidding requirements.

Central to the deadline debate is a bill authored by Senator Joe Addabbo, known as S9673A, which mandates an accelerated proposal submission by August 31, 2024. The bill, having cleared both legislative houses in early June, now sits on Governor Kathy Hochul’s desk, awaiting her signature. Its passage would override the board’s new deadline, compelling a more expedited timeline.

However, this accelerated schedule has raised significant concerns among board members, who are wary of the practical challenges it poses. “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. Environmental impact studies and necessary zoning changes are no small feat, requiring meticulous attention to detail and coordination across multiple jurisdictions.

Complex Approval Processes

The key obstacle is the need for comprehensive entitlements and zoning approvals before any bid evaluation can commence. For instance, the Bally’s Bronx proposal and Steve Cohen’s Queens proposal necessitate rezoning their existing parkland designations to accommodate such large-scale casino developments. These procedural stipulations underline the board’s concerns about an ambitious timeline.

Vicki Been, a voice on the board, echoed these sentiments, suggesting that “Politicians may want a quicker deadline, but that would be impractical.” It remains to be seen whether Governor Hochul will align with the senator’s push for haste or heed the board's call for a more measured approach.

The Bidders and Their Proposals

Meanwhile, the competition among casino developers is heating up, with 11 bidders vying for a piece of New York’s lucrative market. These proposals span a broad geographic swath and incorporate diverse visions for the future, each suggesting unique blends of gaming, hospitality, residential, and community enhancements.

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

Potential Impacts

Board members, despite recognizing the tension between their decision and the stipulations of S9673A, remain optimistic about the outcome. They are hopeful that obtaining bids by the new deadline won't hinder the goal of issuing licenses by the end of 2025. “The hope would be that our reasoning will be helpful to the governor,” noted Vicki Been, highlighting the board’s intent to ensure a robust review process without compromising on thoroughness.

The anticipation surrounding these developments extends beyond the boardrooms and legislative chambers. The successful implementation of these gaming and development projects could significantly reshape the entertainment and economic landscape of downstate New York. Iconic areas could see transformative neighborhood improvements and economic revitalization, driven by an influx of gaming and broader development projects.

For now, all eyes are on Governor Hochul as she weighs the implications of S9673A against the board’s framework. Her decision will set the course for New York's future in gaming, with reverberations likely felt across both political and community spheres.