Will the MGM Empire City Proposal Secure the Necessary Casino Licenses in New York?

The upcoming vote by MGM Empire City’s Community Advisory Committee next week will be a pivotal moment for the project, as the committees decision plays a crucial role in the regulatory roadmap required to secure the necessary casino licenses for the development.

• MGM Empire City has proposed a $2.3 billion overhaul of the racino
• MGM is considered a frontrunner for one of the three downstate New York casino licenses

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MGM Empire City is vying for one of the three coveted downstate casino licenses available in New York. This week, the local Community Advisory Committee will make a crucial decision on a $2.3 billion proposal to transform the existing racino into a full-scale gaming venue. If successful, this venture promises to feature traditional Vegas-style slot machines, live-dealer table games, and retail sports betting.

The list of competitors seeking a license has dwindled, with recent rejections of other high-profile bids, including Caesars Palace Times Square. This strengthens MGM’s position as a front-runner for the licence.

The Community Advisory Committee for MGM has met four times, and their upcoming meeting holds unprecedented significance. To move forward, the proposal needs to secure at least three out of five votes from the committee members.

Favourable Odds for MGM

Unlike other proposals facing local resistance, MGM’s plans in Yonkers have garnered a generally positive reception. Empire City has operated as a racino with electronic table games and slot-like video lottery terminals (VLTs) for nearly twenty years. The acquisition of this property in January 2019 for $850 million from the Rooney family aimed to secure an advantage in obtaining a full-scale gaming license.

According to state legislation passed in 2013, three downstate casinos were authorised, but any licences could not be granted until 2023. This was designed to give upstate casinos a chance to flourish without the threat of competition from the more lucrative downstate market.

Yonkers Mayor Mike Spano, who is a member of the Community Advisory Committee, endorses MGM’s proposal wholeheartedly. He emphasised that without a full-scale casino licence, the survival of Empire City is highly uncertain, endangering over a thousand jobs and millions in tax revenue for the community.

The Vision for MGM Empire City

Should MGM receive the full-scale casino licence, they plan to initiate a transformational overhaul worth $2.3 billion. This overhaul will include:

• A complete renovation and expansion of the gaming floor, featuring a high-limit lounge and a BetMGM Sportsbook.
• A large entertainment venue with a capacity for 5,000 guests, adaptable for local events, including graduations.
• Three new full-service restaurants alongside renovations to existing dining facilities.
• A solar energy-equipped parking garage with electric vehicle charging stations.

“Empire City Casino and Yonkers Raceway have been at the heart of entertainment and tourism in downstate New York for over a century. Achieving a full casino licence will ensure this venue continues to be an essential cultural and economic force,” remarked Bill Hornbuckle, President and CEO of MGM Resorts.

MGM anticipates completing its $2.3 billion investment by mid-2029, cementing its role as a major player in the New York casino scene.

Key Takeaways

• Proposal involves a significant investment of $2.3 billion to transform the existing racino.
• The Community Advisory Committee will determine the proposal’s fate, requiring a three-fifths majority to advance.
• MGM’s positive community relationship positions it favourably against other bids.
• Plans include extensive renovations and new facilities that promise to enhance local economic activity.

In conclusion, whether or not MGM Empire City Casino secures the necessary votes to proceed with its ambitious plans will have significant implications for the Yonkers community and the broader New York gaming landscape.