And then there were three. Not definitely maybe but the president, alleged insider trader and Malaysia’s finest, New York City is finally set for a US$5 billion (£4.11bn) casino resort bonanza.
The field is led by hedge fund billionaire Steve Cohen, controversial owner of the New York Mets baseball team; Bally’s, who are developing a municipal golf course in the Bronx, once owned by the Trump Organisation; and Malaysia’s Genting Group, who will now be expanding their racino slots-only gaming operation at the Aqueduct race track in the borough of Queens.
All three yesterday (December 15) won final approval from the New York State Gaming Commission to build The Big Apple’s first fully-fledged casino resorts, bringing to an end a licensing race that first started in 2013 and then stalled for 12-years before being revived with eight runners at the start of this year.
Trump Organization
They will each pay a US$500 million (£374.01m) licensing fee and, it’s estimated, collectively generate some US$5.3 billion (£3.96bn) a year in revenue by 2033, with attendant taxes to state coffers.
Presidential connection aside–the Trump Organisation will now pocket an additional US$115 million (£85.98m), as part of the agreement when they sold the lease of their eponymous Ferry Point Golf Links in the Bronx to Bally’s–, Steve Cohen’s plan to develop Metropolitan Park around his baseball team’s Citi Field home in Queens is undoubtedly the star of the show.
Cohen’s casino, to be built in partnership with seasoned gaming entrepreneurs Hard Rock International will cost an estimated US$8 billion (£5.98bn) and transform the funky, rustbelt corner of NYC’s largest and most eastern borough.
It will feature a Hard Rock casino, hotel, live music venue, food hall, 25 acres of public green space and provide thousands of jobs.
Insider Trading
Construction is expected to start in weeks, with an opening scheduled for 2030.
Cohen, who runs the US$42 billion (£31.41bn) Point72 Asset Management hedge fund and bought the New York Mets in 2020 for US$2.4 billion (£1.79bn), is a controversial personality, narrowly avoiding an insider trading charge in 2013.
His promise of mass employment and economic transformation in the area has won over most hardcore sceptics – for the moment.
Full-on Gaming
But fears of negative gambling impact and addiction remain.
Meantime, Malaysia’s Genting Group, through their wholly-owned Genting’s Resorts World, plan to invest US$7.5 billion (£5.61bn) at their existing Aqueduct racino site, near JFK airport, also in Queens, with a new 1,600-room hotel, full-on casino, arena and 30-odd restaurants and bars.
Bally’s for their part are planning a US$4 billion (£2.99bn) development at their former Trump-owned golf course, which will feature a casino, 23-story hotel, convention centre and retail space.
Rare indeed these days to find a major financial project without Mr President’s sticky imprimatur buried in the small print.
But legal full-on 360 gaming has finally come to The Big Apple.
