New York State Reviews Three Downstate Casino License Applications Including Manhattan Proposals
New York State's Gaming Facility Location Board began reviewing applications for up to three downstate commercial casino licences in 2023, with major proposals including MGM Resorts at Yonkers, Genting at Queens, and multiple Manhattan-area proposals from Las Vegas Sands, Wynn Resorts, Caesars Entertainment, and Hard Rock.
Key Takeaways
- New York authorised up to three downstate commercial casino licences in the 2022 state budget
- The NY Gaming Facility Location Board was established to review applications and make recommendations to the Gaming Commission
- Applications were received from major operators including MGM Resorts (Yonkers), Genting (Queens), Las Vegas Sands, Wynn Resorts, Caesars, and Hard Rock
- The licensing process required each applicant to form a Community Advisory Committee to demonstrate local support
- Two existing facilities — Resorts World NYC (Queens) and Empire City Casino (Yonkers) — were operated by Genting and MGM respectively, with both seeking full casino conversion licences
- The downstate casino licences are expected to generate billions in annual gaming revenue and significant tax income for New York State
Why It Matters — Players
Why It Matters — Operators
New York State set in motion a competitive process for up to three downstate commercial casino licences following authorisation in the April 2022 state budget. The licences cover the New York City metropolitan area — including the five boroughs of New York City, Long Island, and nearby areas — and represent access to one of the most lucrative potential casino markets in the United States.
Background: Upstate vs. Downstate
New York had licensed four commercial casinos in the state's upstate region beginning in 2018 (del Lago Resort, Tioga Downs, Rivers Casino Schenectady, and Resorts World Catskills). However, the densely populated downstate New York City area had been excluded from commercial casino licensing. Two facilities in the downstate area — Resorts World NYC at Aqueduct Racetrack in Jamaica, Queens (operated by Genting) and Empire City Casino in Yonkers (operated by MGM Resorts) — were limited to video lottery terminals (VLTs) rather than full casino gaming products. Both sought to convert to full commercial casino licences as part of the downstate process.
Major Licence Applicants
By the time applications were being submitted, major US and international gaming operators had announced proposals for the three available downstate licences:
- MGM Resorts — Conversion of Empire City Casino in Yonkers to a full commercial casino
- Genting — Expansion of Resorts World NYC in Jamaica, Queens to a full commercial casino
- Las Vegas Sands — Multiple reported Manhattan-area site proposals
- Wynn Resorts — Partnership with Related Companies, with a reported interest in Hudson Yards or other Manhattan sites
- Caesars Entertainment — Times Square area proposal, partnered with commercial real estate company SL Green
- Hard Rock International — Proposed Citi Field area development in partnership with the New York Mets' ownership (Sterling Equities)
The Licensing Process
Each applicant was required to form a Community Advisory Committee (CAC) to engage with and seek support from local elected officials and community stakeholders. The CAC process was designed to ensure that casino developments had meaningful local backing before the Gaming Facility Location Board made its recommendations.
The Location Board was expected to evaluate proposals on multiple criteria including gaming revenue projections, capital investment commitments, employment and workforce plans, community benefits, and physical design of the proposed facilities. The board's recommendations would then be considered by the full New York State Gaming Commission.
The timeline for final licence awards was expected to extend into 2024 and beyond, given the complexity and scale of the review process.
- Source:
- Reuters
- Published:
- January 17, 2023
- Original Article:
- View Source
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