Big Changes Ahead: Downstate New York Prepares for Casino Transformation

Downstate New York is on the verge of experiencing a major transformation with the planned introduction of three new casino facilities. The New York State Gaming Facility Location Board has recently set a new bid deadline of June 27, 2025, to kickstart this venture.

However, there is a potential shift in this timeline depending on the governor's actions. A bill, currently awaiting Governor Kathy Hochul's signature, proposes to advance the bid deadline to August 31, 2024. This legislation, authored by Senator Joe Addabbo and known as S9673A, had cleared both the house and senate in early June. If signed, it would override the board's current timeline and require bidders to expedite their proposals by the end of summer 2024.

The Gaming Facility Location Board has expressed concerns over the ambitious timeline put forth by the bill. A board member voiced, “Politicians may want a quicker deadline, but that would be impractical.” This sentiment underscores the board’s view that the current deadline serves a more pragmatic approach. The board emphasized, “Because bids cannot be reviewed until all ‘entitlements and zoning’ are approved, the board views the current deadline as unreasonable.”

Several procedural hurdles including entitlements and zoning approvals, as well as environmental impact studies, need to be overcome before any bid can be reviewed. For instance, the Bally’s Bronx and Steve Cohen’s Queens proposals need rezoning from their current parkland designations. Without these preliminary approvals, the board worries that an accelerated deadline could result in incomplete or inadequate submissions.

Cascade of Proposals

Currently, 11 bidders are vying for the opportunity to develop casino projects in prime New York locations such as Times Square, Brooklyn, and other notable areas. The competing proposals feature a blend of commercial and tribal operators, and these proposals don’t just envision casino facilities, but also resorts, housing units, and other neighborhood improvements.

Among these notable proposals are:

  • Avenir: A collaboration between Silverstein Properties and Greenwood Gaming in Manhattan.
  • Bally’s Links at Ferry Point: Bally’s Corporation’s project in The Bronx.
  • Caesars Palace Times Square: A partnership between Caesars Entertainment, SL Green, and Roc Nation in Manhattan.
  • Coney Project: Thor Equities, Legends Entertainment, the Chickasaw Nation, and Saratoga Casino Holdings have teamed up for a proposal in Brooklyn.
  • Freedom Plaza: Soloviev Group and Mohegan Gaming’s vision for Manhattan.
  • Metropolitan Park: Steven Cohen and Hard Rock International’s project in Queens.
  • MGM Empire City: MGM Resorts International’s initiative in Yonkers.
  • Resorts World New York City: Genting Group’s proposition in Queens.
  • Sands New York: Las Vegas Sands’ endeavor in Nassau County, Long Island.
  • Saks Fifth Avenue: Hudson’s Bay Company’s plan in Manhattan, with the operator yet to be determined.
  • Wynn New York City: A project by Related Companies, Oxford Properties Group, and Wynn Resorts in Manhattan.

While the board recognizes the potential conflict between its decision and the stipulations of S9673A, they remain hopeful that their reasoning will be of use to Governor Hochul. “The hope would be that our reasoning will be helpful to the governor,” said Vicki Been, a board member, during their recent meeting.

Impact on Future Entertainment and Economy

The outcome of this bid process is poised to reshape the entertainment and economic landscape of downstate New York. With gaming facilities, resorts, and other developments aimed at enhancing iconic areas, the stakes are high. The board’s optimism that a longer deadline will not impede the issuance of licenses by the end of 2025 reflects a commitment to thoroughness and precision in this transformative initiative.

Regardless of the final decision on the deadline, the drive to expand New York’s casino footprint is expected to bring substantial changes to both the state's economy and its urban development. The proposals reflect a vision that extends far beyond gambling, encompassing broader community developments and economic revitalization, making this a pivotal moment in the future of New York State.