New York Continues to Shrink the Downstate Casino Competition
New York's downstate casino competition has narrowed once again after a community advisory committee voted against a proposal to build a casino on Coney Island.
LISTEN TO THIS ARTICLE:The 4-2 vote on Monday ended a $3.4 billion bid that developers argued would bring thousands of jobs and economic growth to the Brooklyn neighborhood, while opponents said it would fundamentally alter the character of the historic amusement district.
Related: Manhattan Out of Options In Attempt to Become Casino HostThe Coney Island project called for a casino, a hotel, a 25,000-square-foot entertainment venue, and a convention center. Developers projected the venture would generate $1.8 billion in annual gross gaming revenue, create 4,000 union construction jobs, and sustain 4,500 permanent jobs.
Supporters also highlighted the area's 17% unemployment rate and said the casino would help transform Coney Island into a year-round destination rather than one limited to seasonal tourism.
The rejection follows a series of similar setbacks for Manhattan casino proposals, which also failed to secure approval from community advisory committees in recent weeks. In each case, only appointees of Governor Kathy Hochul and New York City Mayor Eric Adams voted in favor of the projects. With the Coney Island bid now eliminated, the penultimate stage of New York's downstate casino licensing process is drawing closer to completion.
While the Coney project faltered, Bally's advanced its own proposal to build a casino in the Bronx. The Rhode Island-based operator secured a 5-1 community advisory committee vote this week, allowing its $4 billion plan to move forward.
The casino would be built at the former Trump Links golf course at Ferry Point Park and would include a 500-room hotel and 500,000 square feet of gaming space. The development joins MGM Empire City in Yonkers and Resorts World in Queens as leading contenders for one of the three available state licenses.
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Bally's Proposal Still Under Pressure
Bally's faced significant hurdles earlier in the year when the New York City Council blocked necessary land-use approvals. Mayor Adams later revived the bid with a rare veto in August.
Controversy grew after reports revealed that the Trump family business would receive $115 million if the golf course was redeveloped into a casino. To strengthen its case, Bally's increased its community benefits package to $15 million annually, up from $12.5 million, and pledged to work with the city Parks Department on improvements to Ferry Point Park.
Committee members in favor of the project cited its potential for job creation and economic revitalization in the Bronx, the city's poorest borough. The lone dissenting vote came from Danielle Volpe, appointed by Councilwoman Kristy Marmorato, who raised concerns about increased traffic and the loss of public parkland.
The focus now shifts to Queens, where New York Mets owner Steve Cohen is partnering with Hard Rock Entertainment on the $8.1 billion Metropolitan Park project. The proposed casino and hotel complex would be built on the 50-acre parking lot adjacent to Citi Field.
The developers project that within three years the facility would generate $3.9 billion in gaming revenue and $850 million in tax contributions, significantly higher than competing bids. The project also anticipates creating 16,000 construction jobs and 2,500 permanent positions.
The Queens proposal faced a major setback earlier this year when state Sen. Jessica Ramos declined to sponsor legislation necessary to redevelop the Citi Field parking lot, which is legally designated as parkland. Momentum returned when Sen. John Liu agreed to sponsor the bill in exchange for Cohen's commitment to explore building an elevated park linking Citi Field to Downtown Flushing.
This political compromise restored the project's viability, and with limited neighborhood opposition, the Metropolitan Park bid is widely expected to secure committee approval in its upcoming vote.
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