MGM Yonkers Inc., a subsidiary of MGM Resorts International late on Oct. 14 announced it has withdrawn its commercial casino license application to the New York Gaming Commission and the Gaming Facility Location Board. MGM had created plans for a major expansion of the Empire City and Yonkers Raceway facility that was presented as bringing tens of millions of dollars into Yonkers and employing thousands of people. The expansion project was estimated to have a value of $2.3 billion. The move by MGM means that there are three remaining applications for the three downstate full-casino licenses due to be awarded by New York state in December. One in the Bronx near the Bronx Whitestone Bridge is by Bally’s. The other two, by Hard Rock and Resorts World are in Queens.
MGM issued the following statement:
“Today, MGM Resorts made the difficult decision to withdraw its application for a commercial casino license in Yonkers, New York. Since submitting our application in June, the competitive and economic assumptions underpinning our application have shifted, altering our return expectations on the proposed $2.3 billion investment.
“The newly defined competitive landscape – with four proposals clustered in a small geographic area – challenges the returns we initially anticipated from this project. Also, our proposal to renovate and expand Empire City Casino was predicated on the receipt of a 30-year commercial casino license but based on newly issued guidance from the State of New York we now expect to qualify for only a 15-year license. Taken together, these events result in a proposition that no longer aligns with our commitment to capital stewardship, nor to that of our real estate partner in Yonkers, VICI.
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“MGM Resorts has been a proud partner of the City of Yonkers and the State of New York since we purchased Empire City Casino in 2019. The property has generated more than $5 billion for New York State education, including $1.6 billion under our ownership. We know our decision will impact many individuals; we remain committed to operating the property in its current format and believe it will continue to enjoy success serving customers in Yonkers and the surrounding communities.”
Yonkers Mayor Mike Spano blasted the decision saying that “defies all logic and it’s nothing short of a betrayal to the people of Yonkers and Westchester County.”
Spano called on Gov. Kathy Hochul to launch an independent investigation into what happened. He said that the reasons MGM gave for its 180-degree reversal just don’t add up.
“It’s no secret that the big winner from this reversal will be Bally’s proposal for a casino at the former Trump Links in Whitestone,” Spano said. “It’s also no secret that Bally’s has a deal with Donald Trump that they will pay him an additional $115 million if they can open a casino there. People need to be assured that there is no linkage between MGM’s decision and the massive financial benefit to Donald Trump.
“The people of Yonkers deserve to know if this process was tainted or manipulated in any way. MGM has publicly acknowledged that Empire City cannot survive without a full gaming license, so why are they signing their own death warrant?
“Our city has stood ready with the workforce, the infrastructure, and the overwhelming public support for full gaming at Empire City. MGM’s blaming New York State Government for their withdrawal rings hollow. The same rules apply to the other bidders. Why aren’t they pulling out as well?”
Spano concluded by saying that in his view something doesn’t add up and the people of Yonkers deserve answers.
Westchester County Executive Ken Jenkins, like Spano, noted that President Trump would stand to benefit by a $115 million payment if Bally’s got a full-casino license and built on the site it controls that had been a Trump golf course in the Bronx.
“I am both shocked, disappointed, and deeply dismayed by MGM Resorts’ decision to withdraw its commercial casino license application for Empire City Casino from consideration by the New York Gaming Commission and the Gaming Facility Location Board,” Jenkins said. “Frankly, this decision makes little sense — especially after MGM had just been celebrating its advancement through the first round of the process.
“I share Yonkers Mayor Mike Spano’s concern that there appears to be more to this story — potentially political influence or pressure from the Trump Administration, or even the President himself, that forced MGM’s hand to default to Bally’s — a move that could result in a profit of roughly $115 million for Trump.
“For decades, so many of us have supported this effort, believing in the promise of good-paying jobs, new investment, and long-term economic stability for Yonkers and Westchester County. While this was not the outcome we hoped for, we remain committed to supporting MGM and Yonkers and to ensuring that our community continues to thrive.”
The Business Council of Westchester and its coalition, A Sure Bet for New York’s Future, expressed deep disappointment with what MGM did.
“We have fought tirelessly with the MGM Empire City team to ensure that this important local business – one of the largest private employers in New York’s third largest city – would be given the opportunity to compete for a full-scale commercial casino license, which would have allowed MGM to directly hire 2,000 new employees,” BCW said.
The BCW continued, “This decision to withdraw from the licensing process is devastating news for the City of Yonkers, the County of Westchester, and our entire region. MGM Empire City boasts an annual payroll of nearly $100 million and employs more than 1,000 individuals. The Casino generates more than $300 million in tax revenues alone each year to fund state education, and millions for state and local governments. As of January 2025, MGM Empire City had generated more than $5 billion for state education, with more than $1.3 billion contributed in the past five years alone.
“The loss of these sustainable, full-time jobs and the billions in new economic activity that would have accompanied this project represents a major setback for economic development, workforce opportunity, and community growth across the Hudson Valley and beyond.”
