The anticipation of a casino in New York City has left casino companies eager to tap into one of the largest untapped gambling markets in the United States. As a global tourist destination and home to approximately 23 million residents, the city holds immense potential for the casino industry. In April, elected officials in Albany authorized up to three casino licenses for downstate New York, encompassing New York City, Long Island, and Westchester County. This development brings the casino industry one step closer to realizing its dreams, and we may expect the launch of some of these online casinos in New York any time in 2024.

The path to establishing these casinos is lengthy, given the high stakes involved. State gambling regulators have stated that no determinations on the casino locations will be made until at least later in 2023. The application process will be overseen by the state’s Gaming Facility Location Board, which has recently appointed three members to guide the process: Vicki Been, a professor at New York University School of Law and former deputy mayor for housing and economic development; Quenia Abreu, president of the New York Women’s Chamber of Commerce with a background in economic development projects; and Stuart Rabinowitz, a lawyer with expertise in the gaming industry.

Once the applications are reviewed, the Gaming Facility Location Board will make recommendations to the state’s Gaming Commission, ultimately deciding the awarding of licenses. The commission has stated that it will only overrule the location board if there are concerns regarding the fitness and character of an applicant.

The application process opened in early January, and casino operators and real estate developers are preparing their official proposals. Local support plays a crucial role in the process, as strong community opposition can halt a casino bid before state regulators even review the application. Each application will have a local Community Advisory Committee formed, which will hold public hearings and provide a formal finding on the level of community support for the proposed casino. For New York City sites, the local committees will consist of six members chosen by the governor, the mayor, the local state senator, the local State Assembly member, the borough president, and the local City Council member. State regulators will only evaluate an application if at least two-thirds of the committee members approve the project.

Mayor Eric Adams has shown a positive stance toward casinos, emphasizing their potential economic boost. As a former state senator and Racing, Gaming, and Wagering Committee chairman, Adams has deep ties to the industry. However, any potential conflicts of interest will be under scrutiny due to his previous involvement in scandals regarding selecting a video-lottery machine provider at the Aqueduct Racetrack in Queens.

Governor Kathy Hochul has expressed her intention to remain uninvolved in the bidding process, but her control over the New York State Gaming Commission gives her significant influence.

While two existing racinos in the region, Resorts World New York City in Queens and Empire City Casino in Yonkers, are seen as leading contenders for two of the three licenses, the competition for the third license is expected to be fierce, reported this NY casino guide.

Several proposals have been announced, including a Hudson Yards casino bid by Related Companies and Wynn Resorts, SL Green Realty Corp. and Caesars Entertainment’s Times Square vertical casino plan, and Joseph Sitt’s partnership with Saratoga Casino Holdings and the Chickasaw Nation for a Coney Island casino. Las Vegas Sands aims to acquire the Nassau Veterans Memorial Coliseum site on Long Island for a casino and hospitality complex. Hudson’s Bay Company plans to bid for a high-end casino in its Saks Fifth Avenue store in Midtown Manhattan. The Soloviev Group and Mohegan are considering a 6.7-acre site near the United Nations headquarters for a multifaceted project with a casino, giant Ferris wheel, and green spaces.

As the casino license allocation process continues, industry players and eager residents await the unveiling of New York City’s potential casino locations, poised to bring entertainment and economic opportunities to the city.