Sources: Casino deal for New York City area possible as part of new state budget
NEW YORK -- The state Legislature is getting ready to roll the dice on a move to approve three casino licenses for the New York City area.
The talks are still going on, but sources told CBS2's Marcia Kramer on Wednesday there is optimism the deal will be part of the new state budget.
But where would a casino go within the five boroughs?
A plush, high-end casino atop the Saks Fifth Avenue flagship store in Midtown is just one of the ideas that is been floated as a possible location. It's right across the street from St. Patrick's Cathedral, which might be a stumbling block. However, lawmakers say Manhattan is the holy grail for casino operators.
"Well, the industry has made it very clear with their endless supply of lobbyists that the number one goal in the country, for the gambling industry, is to get a casino in Manhattan. And I get it. That's where all the people are. That's where all the tourists are. That's the glitziest part of New York," said state Sen. Liz Krueger, who represents Manhattan.
Krueger, the Senate Finance Chair, is not and has never been a fan of casino gambling, but both she and Sen. Joe Addabbo, chairman of the Committee on Racing, Gaming and Wagering, told Kramer they expect to see a lot of bids to build a Manhattan gaming parlor, if the Legislature fast tracks the issuing of three new downstate casino licenses.
"I'm not a betting woman, but I'm prepared to bet there would be more than one group interested in Manhattan," Krueger said. "You know, we're this funny little island. Like, we're the size of the head of a pin that everybody wants to be on."
Sources told Kramer that when the New York State Gaming Commission sent out questionnaires to potential bidders for the three licenses, it got more than 30 responses, many with Manhattan proposals.
The Legislature's interest in approving the licenses is financial. As the state recovers from the pandemic and federal COVID money dries up, the casinos are both a source of revenue and a source of thousands of well paying jobs. Competition for the licenses could be a bonanza.
"A minimum of $500 million per license. An open bidding process can bring that number up to $750 million, maybe even $1 billion," Addabbo said.
If Gov. Kathy Hochul and lawmakers reach a casino deal, the Gaming Commission would issue requests for proposals, but officials think Empire City Racino in Yonkers and Resorts World in Queens would have the inside track because they would just have to add on to existing facilities.
"It's still going to be an open process, but if we do a scoring mechanism where you get certain points for certain aspects, if we look at speed to market, how fast can a license generate those jobs, that revenue," Addabbo said.
Kramer asked Mayor Eric Adams where he would like to see a casino. He was careful not to pick a favorite.
"We're hoping that we have two locations in New York City ... to help boost our economy and tourism that we can get two sites in New York City," Adams said.
So if you spin the roulette wheel, it's likely to land at the Resort World site in Queens and one other city location. Kramer has heard proposals that range from Times Square to the Citi Field area.