The New York Gaming Facility Location Board (NYGFLB) lately launched a wide-ranging set of solutions to varied questions from teams pursuing the three downstate on line casino licenses the state is anticipated to award late subsequent yr, and there may very well be some optimistic takeaways for Genting and MGM Resorts Worldwide.
Resorts World New York (left) and Empire Metropolis. New solutions on the New York Metropolis on line casino bidding course of might comprise excellent news for these venues. (Photos: Resorts World/MGM Empire Metropolis)
In its second set of solutions offered to bidders, the NYGFLB acknowledged that “velocity to market is just one of many components of consideration.” Whereas that clearly states regulators will keep in mind different points, it additionally says the state desires gaming venues operational as rapidly as attainable after the three licenses are awarded.
Genting’s Resorts World New York in Queens and MGM’s Empire Metropolis On line casino in Yonkers are already operational as slots-only venues with accompanying racetracks. Each venues have lengthy been rumored to be all however assured to say two of the three downstate permits, implying the opposite 9 bidders are basically vying for one license. New York regulators haven’t commented on the benefits, if any, held by Empire Metropolis and Resorts World New York.
Bids have to be submitted to the NYGFLB by June 2025 and the board will make suggestions on potential winners, however the remaining say on to whom the three licenses are awarded rests with the New York State Gaming Fee (NYSGC).
Genting, MGM Verify NY On line casino Packing containers
Within the eyes of New York, Empire Metropolis and the Resorts World venue in Queens are what’s often known as video lottery terminal (VLT) venues, and that’s sufficient to carry the operators to the identical requirements as rivals competing for the downstate permits.
All chosen candidates should show that required capital investments obligatory for operation have been made to the ability, which shall be equal to or higher than $500 million, previous to the graduation of business gaming operations,” in accordance with the NYGFLB.
That capital dedication will be simply met by each Genting and MGM. The previous has pledged $5 billion, assuming it’s granted one of many permits, to transform its Queens property to a Las Vegas-style on line casino. Likewise, MGM has promised vital alterations at Empire Metropolis which might be more likely to create 1000’s of building jobs whereas sporting a remaining price ticket nicely in extra of the required $500 million.
Each properties already rank among the many highest-grossing regional casinos within the nation regardless of not having desk video games. That might point out that if the pair can develop into conventional casinos, income and tax receipts would surge.
Some Readability on Taxes, Charges
Gaming taxes differ from state to state, however the NYGFLB offered some readability on what operators can anticipate when the three New York Metropolis-area gaming venues open their doorways.
“The applicant should assume a 25% tax fee on gross gaming income (GGR) on slot machines and a ten% tax fee on gross gaming income from desk video games,” famous the board.
Every bidder should pay a one-time utility charge of $1 million. For candidates comprised of a number of events, which describes most of the bidders past Genting and MGM, the board stated these teams have discretion as to which firm pays the $1 million charge.
Along with the aforementioned capital dedication of no less than $500 million, the three profitable events can even every pay a $500 million licensing charge, although there was some hypothesis that New York regulators might improve that worth.
