Resorts World New York Adjusts Strategy in Downstate Bid

Resorts World New York plans to ask state regulators for changes to the tax terms included in its recent downstate casino bid. A Bloomberg report points to upcoming discussions that could adjust one of the most aggressive financial offers in the licensing race.

Good to Know

• Resorts World New York previously volunteered one of the highest tax packages ever seen in a commercial casino bid.
• The revised request may push regulators to either ease that burden or apply tougher terms to rival bidders.
• Only three applicants remain for three licenses, yet approvals are not guaranteed.

A Different Tone From Earlier Commitments

Resorts World New York, run by Genting, had designed a bid that leaned heavily on aggressive financial promises. The company floated a $600 million licensing fee that sat above the state requirement of $500 million. It also put forward a 56 percent tax on slot play and a 30 percent rate on table games. Analysts across the gaming sector pointed out that the offer looked unusually steep compared to national averages, even when measured against high-duty markets like Pennsylvania.

Sources now indicate the operator intends to ask regulators to reduce the load it originally volunteered or require competing proposals to match higher tax terms. That request creates an unexpected pivot, especially after months of messaging that emphasized deep financial commitment and long-term stability.

Competitive Field Shrinks After MGM Resorts International Exit

Industry observers were caught off guard in October when MGM Resorts International stepped out of the downstate bidding process. Empire City Casino in Yonkers had been viewed as a near-certain license holder, and its withdrawal changed the landscape overnight. Only three bidders remain:

1. Resorts World New York in Queens
2. Bally’s pitch for the Bronx
3. The Metropolitan Park plan, valued at roughly $8 billion, a partnership between Steve Cohen and Hard Rock

Each brings a different tax and development structure. Metropolitan Park is pitching a 25 percent slot rate, while Ballys plan includes a 30 percent levy. Resorts Worlds original 56 percent proposal would place the Queens casino at the very top of the national tax scale, even beyond high-tax regions that reach the mid-50s.

Large Revenue Forecasts Continue To Anchor Resorts World Bid

Despite the tax-rate change in tone, the broader financial structure of the Resorts World New York plan remains ambitious. Genting has repeatedly said the full casino conversion could produce close to 4 billion dollars in yearly gross gaming revenue. Another internal estimate places total tax contributions at 18.8 billion dollars through the first ten years, a projection that exceeds expectations tied to Ballys or Metropolitan Park.

Parallel to those tax commitments, Resorts World outlined extensive capital plans. The redevelopment and full-scale casino conversion would require 5.5 billion dollars, not including the separate 2 billion dollars set aside for community benefits. A transportation-focused analysis released earlier this month suggested the project could deliver 2.5 billion dollars to the Metropolitan Transportation Authority within four years, surpassing the 1.8 billion dollars the agency expected from all downstate bidders combined.

Tax Dynamics Shape the Final Phase

New Yorks Gaming Facility Location Board continues to evaluate all three proposals with an expected decision window starting December 1. Although three licenses are technically on the table, the board holds authority to issue fewer. That scenario leaves every applicant pushing to show value across jobs, revenue, transit support, and local partnerships.

FAQ

Why would Resorts World New York seek changes after offering high tax rates earlier?

Sources indicate the company wants a more balanced structure after reassessing how its volunteered rates compare with competitor terms.

How many bidders remain in the downstate race?

Three remain: Resorts World New York, Ballys proposal in the Bronx, and the Metropolitan Park plan in Queens.

Can the state award fewer than three licenses?

Yes. The board can issue one, two, or all three licenses depending on its evaluation.

What happens if regulators keep Resorts Worlds original rates?

The company may proceed under those terms, or the board could ask all bidders to adjust their tax structures before issuing licenses.

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