The ambitious $5.4 billion Caesars Palace casino project in Times Square has officially been rejected following a decisive vote by a state-appointed Community Advisory Committee. This outcome is a significant setback for one of the most prominent proposals vying for a downstate New York City casino license.

The envisioned resort, supported by Caesars Entertainment, commercial real estate company SL Green, and rapper-business mogul Jay-Z’s Roc Nation, aimed to create a luxury casino, hotel, and entertainment hub within the office tower located at 1515 Broadway. Currently, this building is home to the Minskoff Theatre, where Disney’s “The Lion King” is staged.

Opposition to the plan was vigorous, with substantial pushback from the Broadway League, local theater producers, labor unions, community members, and small business owners. Many expressed concerns that the casino would undermine the distinctiveness of the historic theater district, as well as shift audience attention and resources away from existing venues.

In a vote that concluded with a 4–2 outcome, the advisory committee voted against the project after several contentious community hearings, thereby removing it from the race for one of the three new comprehensive casino licenses that the New York State Gaming Commission plans to award later this year.

“This is an atrocious display of cowardice, showing a total disregard for those who could have benefited from this project,” expressed SL Green CEO Marc Holliday to the committee after the vote, showing clear frustration. “You’ve chosen to retreat.” Holliday, whose company owns the proposed site, was in line for a $10 million bonus had the project proceeded.

This vote followed months of passionate opposition, with critics asserting that a casino would thwart Broadway’s recovery from the COVID-19 pandemic. Theatre professionals filled the hearings, with some even singing their dissent. “Start spreading the news, a casino would obstruct the scene,” stated Sam Dallas, a Broadway show general manager, referencing Frank Sinatra’s classic during a hearing on September 11.

The Broadway League, which led the No Times Square Casino Coalition, celebrated the decision. Jason Laks, its president, declared it a major victory for the local arts and entertainment scene.

Roc Nation and its partners had characterized the casino as a project that would enhance the neighborhood rather than compete with existing venues. “Casino guests will purchase tickets, fill seats, dine before shows, and keep local hotels bustling,” Jay-Z mentioned in an interview with City & State.

“We’re developing a hub that attracts even more visitors to the area, creating fresh energy, new businesses, and opportunities for all.”

Reverend Al Sharpton, a prominent advocate for the project, criticized the committee’s choice, claiming it perpetuated the existing power dynamics in Times Square. Plans for a civil rights museum were included in the complex. “We will remember this in our community,” Sharpton stated after the vote.

The Times Square casino was just one of several proposals vying for licenses established under a 2013 voter-approved referendum that permitted up to seven full-service casinos in New York State, with four existing in upstate regions.

Another Manhattan project, the Avenir, a staggering $7 billion proposal for Hudson Yards backed by Silverstein Properties and Rush Street Gaming, also faced a similar fate, being rejected with a 4–2 vote. The two affirmative votes in both proceedings originated from representatives of Governor Kathy Hochul and Mayor Eric Adams.

With both the Caesars Palace and Avenir proposals eliminated, only one Manhattan-based proposal remains. The competitive landscape now expands to contenders in the Bronx, Coney Island in Brooklyn, and Queens, where a Hard Rock casino is proposed near Citi Field. Existing slot parlors in Yonkers and Queens are also campaigning for full casino licenses, with MGM and Genting planning extensive expansions of their current operations.