New Casino Facilities Set to Transform Downstate New York

Downstate New York's landscape could soon see significant transformation with the anticipated arrival of three new casino facilities. This major move comes on the heels of a critical decision by the New York State Gaming Facility Location Board to set a new bid deadline for June 27, 2025.

However, this timeline is currently under scrutiny. A bill, S9673A, authored by Senator Joe Addabbo, is awaiting Governor Kathy Hochul’s signature. If enacted, this legislation would short-circuit the board’s decision, requiring bidders to submit their proposals by the end of summer 2024. This bill previously cleared both the house and senate in early June.

A Clash of Timelines

The facility location board has expressed concerns regarding the ambitious timeline dictated by the bill. During a meeting, the board highlighted a significant hurdle: bids cannot be reviewed until all ‘entitlements and zoning’ are approved. This requires environmental impact studies and necessary zoning changes to be completed beforehand, making the board view the current deadline as unreasonable.

Vicki Been, a member of the board, voiced the impracticality of the quicker deadline suggested by some politicians. “Politicians may want a quicker deadline, but that would be impractical,” she stated. The board emphasized that their reasoning should aid the governor in making a well-informed decision, with Been adding, “The hope would be that our reasoning will be helpful to the governor.”

Challenges in Zoning and Entitlements

Significant challenges remain, particularly in areas requiring rezoning. Notably, the Bally’s Bronx proposal and Steve Cohen’s Queens proposal demand rezoning from their current parkland designations to accommodate casino facilities. Until these zoning and environmental requirements are satisfied, the board cannot move forward with reviewing bids.

Diverse Bidders and Ambitious Proposals

A substantial lineup of 11 bidders is competing to develop casinos in various prime locations across New York, ranging from Times Square to Brooklyn. These proposals are diverse, featuring not only casino facilities but also resorts, housing units, and neighborhood improvements. They involve a mix of commercial and tribal operators, suggesting a wide array of development visions for downstate New York.

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

The Road Ahead

The outcome of this high-stakes bidding process could potentially reshape the entertainment and economic landscape of downstate New York, introducing gaming and broader development projects into some of the state's most iconic areas. The facility location board acknowledged the potential conflict with the stipulations of S9673A and remains optimistic that obtaining bids by the new deadline will not compromise the goal of issuing licenses by the end of 2025.

This dynamic situation underscores the complexities and challenges of balancing regulatory requirements, environmental considerations, and ambitious development goals. As bidders eagerly await the governor’s decision, the gaming scene in downstate New York stands on the brink of a transformative era.