Big competition to obtain a casino license for New York City hotels, as more and more names join the list as they believe the casino will increase their profits.
The high-stakes frenzy kicked off in April 2022 when three new casino licenses for downstate New York, which includes the city and surrounding counties, made their way into the state’s budget. Τhe fact that the New York State Gaming Commission has not stopped major players in gaming, hospitality and real estate from publicizing their proposals and getting a head start on lobbying efforts.
Banyan Tree, Mohegan and Soloviev Group aren’t the only big names vying to bring a gaming and hospitality hub to New York. In 2022, Wynn Resorts and developer Related Companies announced plans to pursue one of the three casino licenses, with a plan to bring a Wynn gaming resort to Midtown West’s Hudson Yards neighborhood. Caesars Entertainment and SL Green Realty Corp. also partnered on a bid, with their plan involving the opening of a Caesars Palace resort casino in the heart of Times Square.
Industry experts say the introduction of major gaming, hospitality and entertainment hubs could shake up the greater New York tourism ecosystem. Sean Hennessey, assistant professor at New York University’s Jonathan M. Tisch Center of Hospitality, said casino gaming would spur additional travel to the New York area as an attractive “bolt-on” to a visit.
A question, Hennessey said, is whether the average New York gambler will skew high-end enough, since casino gaming is usually accompanied by a lower-cost trip. Still, the economic impact of these casinos is expected to be widespread.
Kimberly Otis, associate professor for the School of Hotel, Culinary Arts and Tourism at SUNY Schenectady County Community College, said the state’s tax structure on casinos makes it eligible to receive “significant money” from these projects, which she also said are known for their capacity to create jobs.
Otis also acknowledged that with casinos come potential drawbacks, including impacts related to problem gambling.
“Casinos are a form of entertainment, but it’s also a conflicted industry, and there are many people who can become negatively impacted by casino facilities,” she said. “That being said, there are casinos that are run beautifully and that have a great awareness of responsible gaming applications, and I think that will be important.”
