Las Vegas Sands Acquires 99-Year Nassau Coliseum Lease for $241 Million


Las Vegas Sands has made a significant investment in the acquisition of the Nassau Veterans Memorial Coliseum site on Long Island, New York. The company plans to construct a state-of-the-art integrated resort at a cost of $5 billion.

Las Vegas Sands Nassau Coliseum Long Island New York
Las Vegas Sands is the new lease owner of the Nassau Coliseum. The casino company wants to build a $5 billion integrated casino resort on the 72-acre site. (Image: News12 Long Island)

In a recent securities filing, Sands confirmed that it paid a total of $241 million in June to secure the leasing rights for the Coliseum and its surrounding grounds.

This expense included a $92 million “goodwill” payment to Nassau Live Center, LLC, the entity responsible for the development of the Coliseum property. An additional $149 million was paid to Nassau Live, granting Sands the lease rights and ownership of the related entities.

The Nassau Coliseum was previously home to the NHL’s New York Long Islanders hockey team before they moved to UBS Arena in Belmont Park. Now, Nassau County is keen to redevelop the property and has sought out new lease owners.

Nassau Live Center, LLC is owned by Nicholas Mastroianni II, a Florida real estate developer. Mastroianni acquired the redevelopment rights in 2020 and partnered with RXR Realty for a proposed $1.5 billion development.

However, Mastroianni and RXR faced difficulties in bringing their vision to life.

Sands Thrusts Into New York

As one of roughly a dozen casino companies vying for one of the three downstate casino licenses to be distributed next year, Sands is taking a major gamble. With its focus solely on the Empire State after selling its domestic properties, the company is placing its bets on a Long Island casino.

While there are no guarantees that Sands will secure one of the coveted licenses, one thing is certain – the company will be responsible for lease payments on the Coliseum property.

Sands initially paid Nassau County a one-time rent payment of $54 million for the Coliseum lease. It will pay an additional $1 million to the county by the end of 2023.

From 2024 to 2027, Sands will pay the county $6 million annually. Afterwards, the lease payments will increase to approximately $18.8 million per year for the remaining 94 years, totaling approximately $1.77 billion.

All-In on New York

Despite its existing success in Macau and Singapore, Sands has expressed its eagerness to return to the US market, with New York being particularly enticing.

During the company’s third-quarter call, Sands CEO Robert Goldstein described New York as an “extraordinary opportunity” with “unlimited appeal.”

However, Sands acknowledges in its securities filing that there is no certainty that their $2 billion investment in the New York project will pay off.

We purchased the Nassau Coliseum with the intent to obtain a casino license from the State of New York to develop and operate an Integrated Resort. There is no assurance we will be able to obtain such casino license,” the filing read.

The post Las Vegas Sands Paid $241M for 99-Year Nassau Coliseum Lease appeared first on Casino.org.



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