Published on: January 7, 2025, at 10:18 AM.
Last updated on: January 7, 2025, at 10:25 AM.
MGM Resorts International acquired Empire City Casino and Yonkers Raceway in 2019 for $850 million. Since then, the gaming giant has contributed over $5 billion to the State of New York.
Empire City Casino is a racino that offers video lottery terminals (VLTs) similar to slots. The VLT system is managed by the New York Gaming Commission.
Empire City keeps 39.5% of the monthly gross gaming revenue (GGR) from its 4,400+ VLTs. The rest of the net win is split, with 50.5% going to the New York State Education Fund and 10% to gaming manufacturers and the Gaming Commission.
Since assuming control of the property, MGM informs Casino.org this week that its gaming operations have supported K-12 public education with over $5 billion.
“The $5 billion in education funds accounts for around 30% of the total education funds generated by all VLT casinos in the state, underscoring Empire City’s critical role in New York’s economic prosperity,” a statement from MGM Resorts stated. “Empire City has, on average, provided over $25 million per month for education. Apart from aiding education, Empire City also generates hundreds of millions annually to aid harness racing and various levels of government.”
As of December, Empire City Casino had a total of 4,448 VLTs. Each machine averaged a daily win of $356.
Primed for Growth
MGM Resorts acquired Empire City not just for its strong VLT presence but also to position itself favorably for obtaining one of the three downstate casino licenses in the state. The New York Gaming Facility Location Board is set to award casino licenses that cover slots, table games, and in-person sports betting next year.
Given MGM’s established presence in downstate New York, many gaming experts believe the company is a top contender for one of the licenses, though nothing is guaranteed. If MGM secures one of the coveted full-scale casino permits, priced at $500 million, it plans to rebrand Yonkers Raceway as MGM Empire City.
Empire City is gearing up for a commercial casino license to replace electronic table games with live dealers, introduce retail sports betting, Vegas-style slot machines, and expanded amenities. MGM Resorts has shared its vision to transform Empire City into MGM Empire City, a premier entertainment destination, if granted a commercial casino license,” the statement added.
Since acquiring Empire, MGM has made substantial upgrades to the property, including improving the historic racecourse that is 125 years old. Additionally, a new VIP gaming area, employee dining section, and LED lighting have been installed.
Economic Engine
With a full casino license, MGM Resorts envisions a complete overhaul of Empire City’s gaming floor and the construction of a 5,000-seat entertainment venue. The plan includes multiple dining options from renowned chefs and a late-night lounge. No on-site hotel plans have been announced.
The transformation of Empire City, according to MGM, will create 2,500 direct jobs and generate an annual economic impact of over $1 billion for the region. The project is also expected to support more than 10,000 indirect and induced jobs.