MGM Resorts International has decided to stop its bid for a commercial casino licence in New York. This means the company will no longer move forward with its plan to turn Empire City Casino in Yonkers into a large resort. 

MGM announced the decision in a statement to the New York Gaming Commission and the Gaming Facility Location Board on October 14. 

The $2.3 billion project would have created many jobs and brought more gaming and entertainment options to the area, but those plans are now cancelled.

Reasons Behind the Withdrawal

MGM said it decided to withdraw because of new rules and growing competition in New York’s casino market. The state recently changed the licence terms, cutting the duration from 30 years to 15 years. This change, according to MGM, would reduce the project’s long-term profits.

The company also said there are now too many casino proposals in the same area, which would make it harder for their project to succeed. MGM explained that with these new conditions, the plan no longer makes financial sense or fits with the company’s goal of making smart investments.

MGM’s Continued Commitment to Empire City Casino

Even though MGM has dropped its bid for a full casino licence, the company said Empire City Casino will keep running as it is. “We remain committed to operating the property in its current format and believe it will continue to do well serving customers in Yonkers and nearby communities,” MGM said.

Since buying Empire City Casino in 2019, MGM has contributed over $1.6 billion to New York’s education funds. The casino remains an important place for jobs and entertainment in the area. With this decision, the casino will keep operating under its current licence, meaning it won’t add table games or become a full resort casino.

What Comes Next for New York’s Casino Race

MGM’s withdrawal comes just weeks after local Community Advisory Committees in Yonkers and Queens gave their support to expansion plans from MGM and Resorts World New York City. 

MGM and Resorts World were seen as top contenders for one of the three new casino licences in New York. Now that MGM has dropped out, Resorts World’s $5.5 billion plan to expand its Queens casino is one of the main favourites. Other casino proposals are also being considered in Manhattan, Coney Island, and the Bronx.

The New York State Gaming Commission will keep reviewing the remaining casino applications until 2026. The final choices could change the state’s gaming industry and attract new investments to the downstate area. Even though MGM has withdrawn, its casino in Yonkers will keep running, supporting local jobs and helping the state’s economy.