Published on: October 16, 2025, 09:09h.
Updated on: October 16, 2025, 09:10h.
- New York’s casino licensing initiative has faced considerable challenges
- The prolonged timeline has dampened interest from gaming giants like Sands, Wynn, and MGM
Once considered the most desirable unexplored casino jurisdiction in the U.S.—and possibly the globe—Downstate New York’s journey to issue three licenses for New York City, Long Island, or Westchester County has been painfully slow. This economic and operational uncertainty has led to only three serious bidders being considered, raising concerns that more contenders may withdraw.
The 2013 New York gaming legislation allowed for up to four casinos north of the city and three in the metropolitan area. This law provided a 10-year window for upstate casinos to operate without competition from downstate establishments.
The pause on downstate gaming licenses was lifted in February 2023, yet nearly 1,000 days have passed without awarding the licenses for the New York City area.
The state’s sluggish pace, local objections, consideration of iGaming, and a shift from 30-year to 15-year licenses are leading many prospective casinos to lose interest.
A Parallel to Japan?
The atmosphere surrounding New York’s casino licenses mirrors that of Japan, where officials voted in 2018 to approve a maximum of three integrated resort (IR) casinos.
Initially viewed as a remarkable opportunity following the opening of Macau in 1999, Japan’s slow regulatory process and bidding has pushed all but MGM Resorts and Casinos Austria to abandon their pursuits. Ultimately, only MGM’s bid for Osaka was approved, leaving two permits unissued.
Similar to Japan’s scenario, Las Vegas Sands was the first to withdraw its proposal for Long Island. Wynn Resorts, which had also prepared bids in both Japan and NYC, also pulled out before the official bidding began.
State Senator Joseph Addabbo (D-Queens), a supporter of the 2013 casino law, emphasizes the need for urgent action following MGM’s sudden withdrawal from its Empire City Casino proposal in Yonkers.
MGM’s exit leaves only Resorts World at Queens Aqueduct Racetrack, Hard Rock’s proposal with Steve Cohen at Willets Point, and Bally’s in the Bronx still in the mix.
Addabbo shared with Bloomberg that it’s essential for the New York Gaming Facility Location Board to act promptly in awarding the remaining licenses, promoting tax revenue, job growth, and bolstering local economies.
“I don’t understand why the state wouldn’t grant the last three licenses to the three applicants,” Addabbo stated.
Resorts World is seen as a strong contender given its long-standing establishment in Queens through the Resorts World NYC racino. Meanwhile, MGM’s withdrawal raises concerns about whether Genting, which owns Resorts World, will reconsider its $7.5 billion investment.
The MGM Withdrawal: A Potential Upside
Barry Jonas from Truist Securities commented on MGM’s departure from Yonkers, suggesting it could be advantageous for investors. He noted concerns regarding a “winner’s curse,” as Empire City is significantly more distant from Midtown Manhattan compared to the remaining bids, potentially undermining its competitiveness.
“We view this as beneficial for MGM, freeing up capital for potentially more strategic applications,” Jonas expressed.
Jonas also raised questions about the likelihood of “all, some, or none of the three remaining applications receiving approval.”