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MGM Withdraws Yonkers Casino Bid, Upending New York’s Downstate Licensing Race

New state guidance pointing to a 15-year license undermined the projected returns on MGM’s $2.3 billion plan.

Overview

  • MGM ended its Empire City expansion bid weeks after local approval and said it will continue operating the current slots-only facility.
  • The withdrawal leaves three contenders for up to three licenses—Resorts World NYC, Metropolitan Park near Citi Field, and Bally’s Bronx—though regulators are not obligated to award all three.
  • MGM cited a tighter competitive map with multiple proposals clustered in New York City and an expected 15-year license rather than 30 years as factors that reduced anticipated returns.
  • Yonkers Mayor Mike Spano and Westchester County’s executive called for an investigation, pointing to potential benefits to the Trump Organization if Bally’s wins; Governor Kathy Hochul said she sees no reason to investigate and the Trump Organization denied any role.
  • State reviewers are slated to recommend winners by Dec. 1 with final decisions by Dec. 31, and industry observers say MGM’s exit could shift tax-rate and bargaining dynamics for the remaining bids.