New York’s Bet on New Casinos Has Yet to Hit Jackpot

Likewise, the Rivers Casino and Resort in downtown Schenectady, next to the Mohawk River, has also underperformed. Its first-year projections ran between $181.5 million and $222.2 million; since opening on Feb. 8, an event attended by Mr. Cuomo, the casino has grossed $81.8 million — a pace which represents just 77 percent of even its lowball estimate.

A third new casino, Tioga Downs, which in December was converted from one of the state’s racinos is also running short of its projections.


The Seneca Nation, which operates this casino in Buffalo and two others in New York, is fighting with the state over payments that the tribe no longer believes it has to make.

Nathaniel Brooks for The New York Times

Lee Park, a spokesman for the Gaming Commission, said it was “much too early to make any judgment on gaming performance,” noting that some of the new casinos’ amenities, like hotels, are still under construction or only recently opened. “It is entirely premature to give credence to any analysis of how well the casinos are operating,” he said.

Casino experts are not so sure. Colin A. Mansfield, a director and gaming analyst with Fitch Ratings, said that early numbers coming from the Rivers and del Lago were “not overly impressive.”

“Usually when a new, original property opens the first couple of months are usually the strongest,” Mr. Mansfield said.

New threats already loom, including new casinos due in Massachusetts and Connecticut and a $1.2 billion facility in the Catskills, scheduled to open early next year.

Del Lago officials declined to comment on its revenue, while officials at the Rivers said they were satisfied with the casino’s financial performance thus far.

Jeffrey Gural, a Manhattan real estate mogul and the owner of Tioga Downs, near Binghamton, N.Y., conceded that his estimates of income had been optimistic, saying that the gambling market is oversaturated; Tioga Downs must also compete against casinos in nearby Pennsylvania. But he argued that the casino expansion had created jobs, as Mr. Cuomo had promised.

“There’s no question that the goal of economic development has been achieved,” he said. “What hasn’t been achieved is as much tax revenue as we had hoped.”


Despite a festive grand opening on Feb. 8, Rivers Casino in Schenectady…

Read the full article from the Source…

Leave a Reply

Your email address will not be published. Required fields are marked *