Related Companies, a real estate giant, has announced that it will be pursuing a casino license in a joint venture with Wynn Resorts. The casino license that both parties want to gain will be for a casino on the western half of the Hudson Yards.
Developing the Western Point of the Yards Is a Priority for the Governor as Well
The western point of the Hudson Yards complex is currently a sunken train yard and Related is not the only one who’s looking to transform the region. Governor Kathy Hochul, Andrew Cuomo’s successor, is also focused on transforming the exposed yard.
If the massive casino complex is greenlit, it will be situated in the vicinity of the Jacob Javits Convention Center. The state’s gambling commission has until October to form a board that will be in charge of managing the licensing process. Licensing is set to commence 90 days after the commission is formed.
Hudson Yards is the biggest mixed-use private real estate development in the history of the US and the interest from Related Companies in this region is not something new.
In fact, company officials have been trying to come up with a plan for the western end of the Hudson Yard for years.
According to the original agreement, Related was supposed to build six residential buildings, a school and parks by 2025. The residential buildings were supposed to feature 265 units, all of which had rates below market standards.
Related Is the First Suitor to Form a Partnership With a Casino Operator
Several competitors of Related tried to pursue partnerships with Sands and Hard Rock, but Related is the first one to strike a deal with a major operator. According to the NY Post, the other developers that are interested in building casinos are Thor Equities, Vornado Realty Trust and SL Green.
Earlier this year, the state of New York authorized 3 casino licenses in the downstate region. Mayor Eric Adams requested two of them to be in New York City.
Jeff Blau, the CEO of Related, stated that the Western Yards is the perfect spot for a resort that will “reinvigorate” the tourist economy and bring billions of dollars in tax for both the state and the city.
Even though Manhattan is considered by many as one of the last untouched gambling markets, all bidders will have a lot of difficulties to overcome.iGaming is also a subject that is often talked about. A recent report done by VIXIO Gambling Compliance and commissioned by Light & Wonder revealed that New York can rake in more than $400 million in annual tax from online gambling.