NYC Coney Island Bid is Rejected in Predictable Setback

The rejection of Thor Equities’ $3.4 billion casino proposal for Coney Island on Monday marked the fourth and most foreseeable defeat in New York’s ongoing competition for downstate casino licenses.

The decision came from the project’s Community Advisory Committee (CAC), which voted 4-2 against advancing the bid to state consideration. Only the mayor’s and governor’s appointees supported the project, continuing a now-familiar pattern in which political representatives endorse casino plans while local appointees remain skeptical.

 

A Predictable Outcome

Unlike some of the other seven local votes held to date, The Coney’s defeat was largely anticipated. After two contentious public hearings filled with vocal opposition, it had become apparent that the project commanded little local support compared with the other eight casino bids vying for three licenses.

The discord within the community made CAC approval unlikely, particularly since at least three members had already signaled their intent to reject the plan in advance of the vote. “The process had a lot of disruption and uncomfortable moments … I hope we didn’t make irreparable harm to each other in our community,” said Brooklyn Borough President Antonio Reynoso, who opposed the proposal.

In a curious twist, the CAC approved a package of amendments to the bid only minutes before voting down the project. The proposed revisions, submitted on September 19, spanned nearly 150 pages across 10 categories, signaling a last-ditch effort to win over skeptics. But the late changes mirrored a trend across the selection process: last-minute amendments have failed to sway local committees. Each of the four rejected projects – Caesars, Avenir, Freedom Plaza, and now The Coney – submitted similar revisions to no avail. By contrast, Resorts World NYC was approved without any amendments.

 

A Split in Rationale

The contrast between Monday’s two CAC votes underscored the uneven fortunes of casino bidders. In the Bronx, Bally’s won a 5-1 approval earlier in the day, with committee members emphasizing the need to invest in disadvantaged areas and praising the company’s community outreach. No such commendations accompanied The Coney. While Thor Equities pitched its project as an economic engine for Brooklyn, committee members remained unconvinced.

Alex Sommer, Mayor Eric Adams’ appointee, offered the lone supportive statement, echoing the administration’s broader view rather than endorsing the project itself. “We believe casinos can serve as major economic development initiatives, creating good-paying jobs and delivering benefits to the city, region and local communities,” Sommer said.

 

There was a lot of disruption and uncomfortable moments throughout this process that I wish would’ve never happened.

 

Next Steps in the Process

With Coney Island’s rejection, only one project remains to face a CAC vote: Metropolitan Park, scheduled for Tuesday morning. Once all committees have rendered decisions, the surviving bids will move to the state’s Gaming Facility Location Board. That body has until December 1 to recommend projects for up to three licenses, which the New York State Gaming Commission will award by the end of the year.

So far, three projects – Bally’s Bronx, Resorts World, and MGM Empire City – have secured committee approval and remain in contention.

The outcome at Coney Island reinforced what is becoming clear across the process: while state and city officials are inclined to view casinos as economic development tools, the projects that succeed will be those able to convince skeptical local communities they can deliver those benefits without deepening divisions.