Main menu

Pages

Where to Build a Casino in New York? what do we know

featured image

For years, casino companies have spat at the prospect of a casino in New York City, one of the last major untapped gambling markets in the United States, a global tourist destination anchoring a metropolitan area of ​​nearly 23 million people.

They may soon find what they are looking for.

In April, elected officials in Albany authorized up to three casino licenses for New York downstream, which includes New York City, Long Island, and Westchester County.

New York voters first approved the legalization of Las Vegas-style casinos in the state in 2013. Andrew Cuomo, who was governor at the time, and the state legislature initially allowed four casinos to open out of state, giving them several years to set up their businesses. Having to compete with any casino in the New York City area.

Given the high stakes, this will be a long confirmation process.

State gambling regulators said no determinations would be made “until sometime in 2023 at the earliest.”

The application process will be overseen by the state’s Game Facility Settlement Board, which recently appointed three members:

  • Vicki Been, New York University Law School professor who served as deputy mayor for housing and economic development under Mayor Bill de Blasio

  • Quenia Abreu, formerly Chair of the New York Women’s Chamber of Commerce focusing on economic development projects in Hunts Point in Queens, the South Bronx in Manhattan and Washington Heights

  • Stuart Rabinowitz, a lawyer at Meltzer, Lippe, Goldstein & Breitstone, was president of Hofstra University on Long Island for 20 years.

After reviewing the applications, the board will make recommendations to the state’s Gambling Commission, which will decide which licenses to award. However, the commission said it would not override the location board unless it identified a problem with the applicant’s suitability and character.

By law, it must be opened by January 6. At this point, casino operators and property developers can submit their official offers.

The process is set up in such a way that strong community opposition can kill off a casino proposal before government regulators review the application.

For each submission, a local Community Advisory Committee will be formed to hold public hearings and publish an official finding on how much community support the proposed casino has.

For estates in New York City, local committees will have six members who each elect one member from the governor, mayor, local state senator, local State Assemblyman, county president, and local City Council member.

At least two-thirds of committee members must approve the project before state regulators can begin considering the application.

After winning the Democrats’ primary last year, Mr. Adams vacationed in the gambling hotspot Monaco and has so far spoken positively about the future of casinos.

He told reporters in March that he hoped two of the casinos were in New York, calling them a boost for the economy.

The mayor has deep ties to the industry. While a state senator, he served as chair of the Racing, Gambling and Betting Committee and was embroiled in a scandal after the state selected a video lottery machine supplier at the Aqueduct Racecourse in Queens. A later government investigator’s report in 2010 said he and his colleagues had made “extremely bad decisions” by socializing with lobbyists and getting campaign contributions from people linked to bidders.

This year, The New York Times reported that Mr. Adams had given one of his close friends, Timothy Pearson, an unusually well-paid city job, even while Mr. Pearson was simultaneously working at a horse racecourse called a racino. digital games, but no human vendors – next to the Aqueduct Racetrack. Soon after, Mr. Pearson and racino parted ways.

The Queens racino is the largest employer for members of the hotel workers union, which has recently added the word “game” to its name, making it the Hotel and Gaming Trades Council. When Mr. Adams ran for mayor, this union’s lobbyist ran a super PAC that supported his campaign.

Governor Kathy Hochul said she would stay out of the bidding process but had the opportunity to make a significant impact.

It effectively controls the New York State Gaming Commission, which creates the board that will oversee the casino application process.

Not necessarily. Many lobbyists and elected officials believe the two existing racinos in the region are the leading contenders for two of the three licenses.

One is Genting Group’s Resorts World New York City in Queens and the other is MGM Resorts International’s Empire City Casino in Yonkers, NY.

With full casino licenses, they can expand to offer live table games like poker and blackjack.

Both racinos already have the infrastructure to quickly evolve into full casinos. But they also boast legions of lobbyists, extensive campaign donations to relevant elected officials, and strong ties to the union, which represents both local constituencies and their staff.

The real competition appears to be for the third license.

Related Companies and Wynn Resorts are bidding to build a casino on the undeveloped portion of Hudson Yards, a mixed-use megadevelopment on Manhattan’s Far West Side.

Related is the real estate developer of Hudson Yards, a relatively new neighborhood home to office towers, a high-end shopping mall, and luxury apartments.

On a private field deck, Wynn and Related touted the proposed site’s proximity to the Javits Center as a way for the casino to attract convention attendees. They described their target audience as “luxury”.

Describing itself as the largest owner of office buildings in New York, SL Green Realty Corp. and Caesars Entertainment are proposing to build a vertical casino at 1515 Broadway, a skyscraper near the New Year’s Eve ball in the heart of Times Square. The foundation of the building is the Broadway theater playing the musical “The Lion King”.

To garner support from local businesses and workers, the developers pledge to devote some of their profits to improving sanitation and safety in a neighborhood that, like many New York City neighborhoods, has seen a rise in violent crime. Proposed security plans include installing surveillance drones and artificial intelligence camera systems in Times Square.

Steven Cohen, a hedge fund manager who owns the New York Mets, is in talks with Hard Rock to develop a casino next to the team’s stadium in Willets Point, Queens.

Joseph Sitt, founder of Thor Equities Group, a real estate investment firm, is preparing a bid to build a casino on Coney Island, Brooklyn. It is unclear whether he has found a casino development partner.

Comments