Posted on: October 17, 2025, 10:19h.
Last updated on: October 17, 2025, 10:20h.
- New York Governor Kathy Hochul will not investigate MGM’s withdrawal from its Yonkers casino project
- The Trump Organization denies involvement in the unexpected decision
MGM Resorts’ surprising move to back out of the downstate New York casino bidding has left many in disbelief, including Yonkers Mayor Mike Spano (D), who expressed that the company’s rationale was insufficient. However, the state’s governor has deemed an inquiry into the situation unnecessary.
Following MGM’s decision to abandon its $2.3 billion initiative to transform its Yonkers racino into a Las Vegas-style entertainment hub, Spano criticized the choice as “defying all logic.” He urged the governor to commence an independent investigation regarding the reasons behind MGM’s retraction of plans for Empire City Casino.
“I have no reason to suspect any misconduct in this decision-making. I believe MGM made a choice based on their own financial assessments,” stated New York Governor Kathy Hochul (D) on Thursday. “I can relate to the mayor’s disappointment that this project did not proceed, but currently, I have no basis for launching an investigation.”
MGM’s exit significantly boosts Bally’s Bronx project, which was previously considered a long shot for obtaining one of the three downstate casino licenses.
Link to Trump
The Trump Organization, led by President Donald Trump’s family, sold the management lease of the publicly-owned golf course at Ferry Point Park in the Bronx in 2019, reportedly for $60 million.
The terms included a condition that if Bally’s is granted permission to construct a casino at Ferry Point Golf Links, it would owe The Trump Organization a $115 million fee.
Some speculate that MGM’s withdrawal was influenced by pressure from the White House. Steve Witkoff, a close advisor to the president on Middle Eastern matters, reportedly has ties to Bally’s proposal and has consulted on the initiative. Witkoff serves as the special envoy for Middle East Peace Missions.
The president has firmly refuted any suggestion of involvement regarding MGM’s withdrawal.
“The Trump Organization had no influence on MGM’s decisions regarding their Yonkers casino bid. Any insinuation to the contrary is completely unfounded and irresponsible,” stated an announcement from The Trump Organization.
“MGM cited a ‘shift’ in the ‘competitive and economic assumptions’ influencing their application, which included a reduction of the proposed license duration from 30 years to 15 years as the reason for their withdrawal. Instead of making baseless allegations, Mayor Spano should consider redirecting his efforts toward enhancing his own city and addressing ongoing issues of nepotism and conflict of interest that have plagued his administration for years,” the statement further elaborated.
Three Proposals Still Active
In addition to Bally’s $4 billion proposal in the Bronx, Resorts World is still pursuing plans to upgrade its Queens Aqueduct racino into a full casino with a $5.5 billion investment. Additionally, billionaire Steve Cohen, in collaboration with Hard Rock, is working on an $8 billion project at Citi Field Ballpark in Willets Point, Queens.
The New York Gaming Facility Location Board is anticipated to make licensing decisions by the end of the year.