NY City Mayor Proposes Zoning Changes for Casino Construction

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New York Mayor Eric Adams participates in the annual Veterans Day Parade on November 11, 2023 in New York City. Spencer Platt/Getty Images/AFP

New York City Mayor, Eric Adams, is proposing zoning changes that would allow a smoother process for casinos to be built in the five boroughs, but not everyone agrees. Also, not much has been said on how this would impact sports betting in New York.

Peeling Off the Red Tape

The process for awarding three licenses for New York’s proposed downstate casinos has been a slow grind and New York City Mayor Eric Adams is seeking a softening of existing zoning codes to expedite the undertaking.

The administration is endeavoring to remove many of the hurdles stymieing the progress by filing paperwork with the Department of City Planning. That would allow a casino to be built in any designated commercial or manufacturing zone, but not residential. This would also include no cap on the size of the casino or adjoining structures such as hotels, restaurants, garages, or any related buildings.

Dan Garodnick, CPC chair, and director of the Department of City Planning, said in a statement, “As the state considers proposals for casinos downstate, it’s important that we create a level playing field for applicants within New York City so they can compete for this opportunity.

Simplifying the Process

“This text amendment would avoid duplicating the state’s rigorous licensing process, which includes local representation on the Community Advisory Committee while setting up a rational framework for consideration within our zoning.”

The primary target of the effort is to remove the arduous and lengthy process mandated by the Uniform Land Use Review Procedure. Approval by the state and the Community Advisory Committee would still be required to get any project approved.

But cutting through the red tape that the Uniform Land Use Review Procedure requires would necessitate getting those restrictions waived by community boards, and borough presidents’ offices, and ultimately winning approval from the Planning Commission before it even reaches the New York City Council.

In other words, there will be more red tape to navigate in order to remove the lengthier red tape that would be required by the Uniform Land Use Review Procedure.

Not so Fast

Should the mayor’s administration’s measure win approval, it would appear to be a win/win for all parties concerned. The city wants those casinos to generate revenue as soon as possible, while the casino companies are willing to spend billions to make it happen so they too can start making money.

However, Layla Law-Gisiko, the land use chair at Manhattan Community Board 5, whose district lies in the heart of two proposals currently on the table —one at the Saks Fifth Avenue location and the other in Times Square—, was not happy with the mayor’s efforts, while others noted that the measure would allow the size of the structures to go unchecked.

“This is very unusual for New York City not to be very specific. … It says nothing,” said Law-Gisiko.

Size and Scope Oversight

City Planning Commission member Gail Benjamin said during a public hearing recently, “The hotel could be any size if there’s nothing that says the people who are staying in the hotel have to be gaming at the casino. We are allowing things that would not be permitted, without any City Planning review, oversight, determination.”

Aside from the Las Vegas Sands proposal for the old Nassau Coliseum site, which sits outside the city limits, 10 other potential bidders for a city-based casino location would have a smoother path to gaining approval if the amended codes are accepted.

Bookmakers Review will continue to monitor this story and update our readers as events unfold.