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New York Casino News: Officials Tour Sites, USTA Sues, and Resorts World Shows Reduced Interest

As the next deadline approaches in two weeks, the New York casino race continues to generate plenty of intrigue.
New York Casino News: Officials Tour Sites, USTA Sues, and Resorts World Shows Reduced Interest

After several weeks of relative calm, the New York casino race is once again gaining momentum. The three downstate contenders — Resorts World NYC, Metropolitan Park and Bally’s Bronx — are now waiting for licensing recommendations from the state’s Gaming Facility Location Board (GFLB), expected on 1 December. Although three licences are technically available, growing delays have raised doubts about whether all will ultimately be issued.

On Monday, GFLB members visited each proposed site after reviewing the bidders’ financial documents and application materials. According to the board’s website, the purpose of these visits was to better understand the physical locations and clarify issues related to transportation access, parking, infrastructure and overall project layout. Board members did not speak to the media during the inspections.

At the same time, two of the bidders have recently made headlines — and not for encouraging reasons. The US Tennis Association (USTA) filed a lawsuit last week against New York City Mayor Eric Adams’ administration, potentially complicating the Metropolitan Park proposal. The suit claims the city violated existing lease agreements by allowing the project to advance, though stakeholders say a resolution has since been reached.

Meanwhile, Bloomberg reported Monday — citing unnamed sources — that Resorts World may ask regulators to revisit the terms of its bid. The operator had submitted one of the most ambitious proposals, offering a $600 million licence fee along with tax rates of 56% for slot machines and 30% for table games.

Board making New York casino site visits

Monday’s site visits are expected to be the only on-the-ground inspections conducted by the five-member Gaming Facility Location Board (GFLB). All other deliberations have taken place behind closed doors. Since the most recent application deadline on 30 September, the board has met seven times, including this week’s session.

So far, the board has followed a weekly meeting schedule. If that pattern continues, only one more meeting would be possible before the 1 December deadline. However, next week’s Thanksgiving holiday may disrupt that timeline.

While most meetings have been held on Wednesdays, the board scheduled an extended formal meeting immediately after Monday’s site visits. If the usual cadence is maintained, this could allow for an additional meeting on 24 November before the holiday. Ultimately, the board’s recommendations are advisory; final licensing decisions rest with the New York State Gaming Commission.

A similar situation occurred during the 2014–15 upstate New York casino licensing process. The GFLB recommended four casinos at the time, but only three were initially approved. The fourth applicant — Tioga Downs Casino Resort — did not receive its licence until the following year.

USTA says city, Metropolitan Park have ignored its lease

The USTA’s lawsuit against New York City marks the latest unexpected twist in a licensing process already filled with complications. Filed on 12 November in New York State Supreme Court, the suit claims the city would be breaching its lease terms if it allows the Metropolitan Park casino proposal to advance without consulting the tennis association. The USTA operates the Billie Jean King National Tennis Center, which sits next to the Citi Field site targeted for the project.

Metropolitan Park is not named as a defendant, but the proposed development overlaps with parkland that the USTA leases from the city.

In its filing, the USTA argues that its lease gives it specific authority over the surrounding land during the US Open, which runs for about three weeks from late August through early September. This authority is backed by a “superiority clause” that ensures several protections remain in place on tournament days, including:

  • Special parking rights for Citi Field parking lots.
  • Protection from “competing events that would materially and adversely affect the US Open”, other than MLB games at Citi Field.
  • Exclusive rights over “concessions, marketing, and hospitality offerings in the Park during the US Open”.
  • Guarantees that the protections stretch for 23 days, the entirety of tournament play and qualifying rounds.

The USTA said it does not oppose the project overall, only the elements that would conflict with its lease. Its suit only seeks declaratory and injunctive relief instead of monetary damages.

Spokesman says a compliant agreement has been reached

Metropolitan Park carries a projected price tag of $8 billion, making it the most ambitious proposal among the remaining New York casino contenders. However, the USTA argues that the project threatens the long-standing economic value of the US Open if the city and developers fail to honor the lease’s superiority clause. The annual tournament brings an estimated $1.25 billion in economic impact and drew 1.1 million visitors in 2025.

The lawsuit claims the USTA has “repeatedly asked the City to share the draft lease agreement” related to Metropolitan Park, but that officials “have refused to do so”.

On Friday, Manhattan Supreme Court Justice Nancy Bannon issued a temporary restraining order blocking the city from approving a new pre-development agreement (PDA) with Metropolitan Park. According to the group’s casino application filed in June, the PDA was expected to be negotiated by Monday and finalized by 31 December.

Despite the order, Metropolitan Park spokesman Karl Rickett told iGB that the agreement with the city has already been secured. He said the deal complies with the court’s instructions and that discussions among all parties will continue.

“We have successfully signed our pre-development agreement with the city,” Rickett said. “This advances Metropolitan Park as a comprehensive transformation of the area, one that complements existing sports attractions and aims to create a world-class sports and entertainment destination in the heart of Queens. It’s a positive step for the community and for fans.”

Resorts World showing hesitancy after bullish campaign

As Metropolitan Park continues to push ahead, Resorts World appears to be reconsidering the scale of its commitments to the state. The racino has long positioned itself as the strongest contender for a license, outbidding all competitors, but may now be having second thoughts. By comparison, Bally’s has proposed tax rates of 30% for slots and 10% for table games, while Metropolitan Park put forward the minimum allowable rates of 25% and 10%.

Resorts World far exceeded both proposals. In its application, it offered tax rates of 56% for slots and 30% for tables, and raised its proposed licensing fee to $600 million—an increase of $100 million. According to unnamed sources cited by Bloomberg, Resorts World is now expected to ask the state either to lower its rates or increase those of competing bidders.

For regulators and state officials, this shift is likely cause for concern. Over the past year, three major operators—Las Vegas Sands, Wynn Resorts, and MGM Resorts—have pulled out of the process. MGM’s withdrawal was particularly surprising, as it had been viewed as a near-certain winner alongside Resorts World. If Resorts World, the most aggressive bidder in the race, withdraws or scales back its offer, it could disrupt the entire licensing process.

The stakes are high: the Metropolitan Transportation Authority is counting on at least $1.8 billion in revenue from casino licensing fees and taxes in the coming years. While that target seemed realistic six months ago, it now appears increasingly uncertain—especially if fewer than three licenses are ultimately awarded. Meanwhile, New York State faces a projected cumulative budget deficit of $34 billion through fiscal year 2029.

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