The Future of Gaming in Downstate New York: New Casino Bids and Regulatory Challenges

The landscape of downstate New York could soon be transformed with the introduction of three new casino facilities, a move set in motion by the New York State Gaming Facility Location Board. This decision, however, is tethered to a contentious deadline battle that could affect the future of gaming and development in the region.

New Bid Deadline and Legislative Intervention

The Gaming Facility Location Board recently set a new bid deadline for these much-anticipated casinos to June 27, 2025. Meanwhile, a bill that proposes an earlier deadline of August 31, 2024, now sits on Governor Kathy Hochul’s desk, awaiting her signature. If signed, this legislation, authored by Senator Joe Addabbo and known as S9673A, would override the board’s decision and require bidders to submit their proposals by the end of summer 2024.

This push and pull over deadlines create an air of uncertainty, especially as the facility location board has voiced its concerns regarding the ambitious timelines set out by the bill. “Politicians may want a quicker deadline, but that would be impractical,” Vicki Been opined during the board’s discussions. The review process is stringent: bids cannot be reviewed until all "entitlements and zoning" are approved, prerequisites that include environmental impact studies and necessary zoning changes.

Zoning and Environmental Challenges

Several proposals, including Bally’s Bronx and Steve Cohen’s Queens, highlight the zoning challenges. These projects require rezoning from their current parkland designations to accommodate casino facilities. With 11 bidders competing for prime locations from Times Square to Brooklyn, these zoning issues add another layer of complexity to an already complex process.

Potential locations like Bally’s Links at Ferry Point in The Bronx and Caesars Palace Times Square in Manhattan further illustrate the wide range of commercial and tribal operators eager to stake their claim. The Manhattan bids include notable players such as Silverstein Properties and Greenwood Gaming (Avenir), Caesars Entertainment, SL Green, and Roc Nation (Caesars Palace Times Square), along with other formidable contenders like Soloviev Group and Mohegan Gaming (Freedom Plaza).

Diverse Proposals and Broad Vision

The variety of proposals reflects a blend of ambitions: casino facilities combined with resorts, housing units, and neighborhood improvements. For example, MGM Empire City in Yonkers by MGM Resorts International and Sands New York in Nassau County by Las Vegas Sands illustrate how the introduction of casinos is intertwined with broader development goals.

Each proposal aims to bring a unique brand of entertainment and economic growth to different parts of downstate New York. Steven Cohen and Hard Rock International’s Metropolitan Park in Queens and Resorts World New York City by Genting Group are notable examples of projects designed to leverage existing infrastructures and community needs. Meanwhile, Thor Equities, Legends Entertainment, the Chickasaw Nation, and Saratoga Casino Holdings (Coney Project in Brooklyn) propose integrating casino facilities with vibrant neighborhood enhancements.

Board's Concerns and Optimism

Despite the board’s concerns over the feasibility of the summer 2024 deadline, members remain hopeful that identifying bids by the new June 2025 deadline won’t impede the ultimate goal of issuing licenses by the end of that year. “Because bids cannot be reviewed until all ‘entitlements and zoning’ are approved, the board views the current deadline as unreasonable,” a statement from the board emphasized. Vicki Been added, “The hope would be that our reasoning will be helpful to the governor.”

The outcome of this legislative and regulatory tug-of-war will likely leave a lasting mark on downstate New York, shifting its economic and entertainment capabilities. With an array of high-stakes bids on the table, the unfolding narrative is one to watch, promising to reshape some of the state’s most iconic areas with a blend of gaming, hospitality, and community-focused development.