Wynn Resorts Pulls Out Of NYC Casino Race
Wynn Resorts Ltd. has officially withdrawn its bid for a casino license in New York City, a decision influenced by the complexities of the local rezoning process and significant community opposition, the company said.
Wynn’s decision to step back from the New York casino project stems from a combination of factors that have made the venture less appealing. The company cited the ongoing rezoning process as a significant hurdle, alongside persistent local opposition that could hinder future operations. In a statement, Wynn emphasized that its capital would be better allocated towards initiatives such as share buybacks rather than investing in a project fraught with challenges.
The proposed casino site faced considerable pushback from various community groups, including the Friends of the High Line. Concerns were raised regarding the potential impact of a casino tower on the views from the nearby elevated promenade. Local City Council Member Erik Bottcher also expressed his disapproval, stating that the proposal lacked the necessary community support for such a significant project.
Wynn’s leadership indicated that the financial implications of pursuing the casino license were not favorable. The company believes that the resources required to navigate the local opposition and zoning changes could be better utilized elsewhere.
Competing Proposals
While Wynn has exited the race, other competitors are actively pursuing their casino ambitions in New York City. Notably, the Soloviev Group has enhanced its proposal by offering local residents a chance to invest in the facility. Additionally, Steve Cohen’s ambitious plan for an $8 billion casino and entertainment complex near Citi Field has gained traction, receiving a crucial vote in Albany.
The New York Gaming Facility Location Board has set a timeline for the casino licensing process, with applications due by June 27. A final decision is expected by December 1, with licenses awarded by the end of the year. This timeline adds urgency to the remaining bidders as they refine their proposals to meet the board’s criteria.
Related and Oxford Properties’ New Vision
In light of Wynn’s withdrawal, Related Companies and Oxford Properties are revising their development plans for the Hudson Yards area. Their updated proposal includes a significant increase in public green space and a reduction in the density and height of the structures initially planned for the site.
The revised plan aims to deliver up to 4,000 housing units, with a commitment to ensuring that at least 400 of these will be affordable. This focus on community benefits is likely to resonate more positively with local stakeholders, contrasting with the contentious casino proposal.
