
The glittering heart of New York City that never sleeps, Times Square, may have to postpone its plans of becoming a hub for high-stakes wagering until late 2025. Looking at the current scenario, it appears less likely that the decision-making authorities will be able to award any casino licenses downstate within this year.
Robert Williams, the Executive Director of the New York Gaming Commission, elaborated on the situation earlier this week. He explained that despite the keen interest of gaming companies, it is currently unfeasible to open a 30-day application window for the three sought-after downstate casino licenses. The primary hold-up is the city’s zoning laws, which require various modifications before they can accommodate even a single gaming venue amongst the diverse five boroughs. The modification process has been projected to consume much of the year, hinting that decisions regarding successful license applicants won’t be determined until late 2025.
Adding another layer to the intricate facets of the issue is Mayor Eric Adams’ proposal. In November, the city mayor proposed an amendment to the citywide zoning text. The amendment, if successful, would legally open doors for gaming venues in all the five boroughs. However, this proposal is not an immediate solution, as it still has to navigate through ten more procedural steps before it can be practically applied.
Despite the unprecedented delays, staff members remain optimistic, as highlighted by Williams. He believes that the present timeline adequately accommodates all necessary statutory requirements as well as allows adequate time for obtaining local zoning approvals.
Earlier, there were high hopes that the state would be able to initiate the 30-day bidding window ahead of July; a prospect that now seems unlikely.
While gaming industry observers and lobbyists were hopeful of progress toward awarding the New York casino licenses within this year, other experts foresaw bureaucratic lags as an obstacle. They predicted that the tentative timeline for license allocation would extend into 2025.
Governor Kathy Hochul’s budget for the current fiscal year doesn’t account for revenues from casino applications and licensing fees. This implies that Albany doesn’t foresee any decisions being made on the casino licenses this year. According to Williams, revenues from these sources aren’t expected to hit state coffers until the 2025-26 fiscal year.
Complicating matters further, there’s another reason that may be delaying the opening of the bidding window—some gaming companies await legal alterations in terms of parkland designations at their proposed casino sites. This particularly pertains to Steve Cohen and Hard Rock International in Queens and also Bally’s in the Bronx.
Meanwhile, Las Vegas Sands’ dream of constructing a casino resort in Nassau County faces ancillary challenges. The project has been intimidated by lawsuits triggered by opposition groups that include Hofstra University. However, amidst these complexities, Sands’ proposal is considered to be one of the most feasible for obtaining a New York casino license.
It seems presently that only MGM Resorts International with Empire City in Yonkers and Resorts World New York in Queens would be prepared to partake in a bidding process that begins soon. Sands might also be ready to join the race if it can successfully address its ongoing litigations.
Yet among these three contenders, only Resorts World New York is located within the esteemed five boroughs. It is a crucial detail since policymakers in the city and Albany aspire to ensure a balanced playing field. They believe it could generate increased tax revenues from gaming companies that are intrigued by the appealing prospect of base their operations within Manhattan.
Accordingly, it is expected that major players including Caesars Entertainment and Wynn Resorts would present their bids for Manhattan-based casino hotels once the bidding process is formally announced.