Digital Wager Wire highlights the most important events impacting the domestic and international sports betting and gaming industry each week throughout the year.
Las Vegas Sands Bows Out of New York Casino Bid
As the date draws closer when three downstate casino licenses will be awarded, some developers and gaming companies are getting cold feet about spending billions of dollars on a casino development that may be compromised by external forces.
One of those entities is the Las Vegas Sands Corporation, which had designs on turning the Nassau Coliseum on Long Island into an adult playground replete with a casino, entertainment venues, fine dining establishments, retail shops, and business conference areas.
iGaming Threat Looms Large
One of those outside concerns was the looming specter of online casino gambling that could be coming to the Empire State. In October of last year, during a third-quarter earnings call, CEO Robert Goldstein expressed genuine concern that iGaming could cannibalize some of the land-based casino business and decrease the foot traffic, leading to lower-than-expected revenues.
“I’ve always been the biggest advocate for New York and other jurisdictions,” he said at the time. “The only concern I have these days is the ongoing strength of online gambling. We can’t ignore what’s happening in New Jersey, in Pennsylvania, and in Michigan.”
Withdrawing from Funding and Operations
Fast forward six months, and those concerns are even more troubling today than they were when Goldstein initially broached the topic. “As we have previously stated, the company remains concerned about the impact of potential legalization of iGaming on the overall market opportunity and project,” said Goldstein.
The company stated it believed Nassau Coliseum remains a tremendous location, but they will no longer be involved in financing and operating the development should they be awarded a license. The Las Vegas Sands’ Nassau Coliseum project now joins Saks Global’s Fifth Avenue venue as the two destinations no longer in consideration, bringing the number of bidders down to nine.
Lawmakers Back Citi Field Proposal
New York Mets owner Steve Cohen got a piece of good news recently when he found out that the New York State Assembly voted 138-7 to allow the redesignation of parkland converted for commercial use, a critical step towards bringing a casino development adjacent to Citi Field in Queens. Cohen and his partners at Hard Rock International are proposing an $8 billion complex called Metropolitan Park.
“This is the opportunity to bring real investment to our local economy, having the bold vision of turning 50 acres of asphalt into an entity that delivers real benefits.” Assemblywoman Larinda Hooks (D-Queen), the bill’s sponsor, said before voting. “This is about giving something back to residents that’s given more than they’ve received,” Hooks added.
Setting the Stage for State Action
It was the second piece of encouraging news Cohen and his Hard Rock partners received, with the first being the local city council passing a “home rule” resolution and calling on the state to approve those bills.
“Last week’s home rule brings us one step closer to delivering 23,000 union jobs, 25 acres of public park space, new entertainment options, and over $1 billion in community benefits for Queens,” said Karl Rickett, a spokesperson for Metropolitan Park, in a statement.
A vote in the Senate remains the next hurdle for the bill.
