Summary
- Las Vegas Sands is vying for an NYC casino license.
- The developer would offer an integrated casino resort.
- The agreement is the first step in applying for gaming licensing.
Las Vegas Sands is ramping up its efforts to secure a casino license in New York City. The company signed a new lease agreement on a temporary scale to use the Nassau Veterans Memorial Coliseum for an integrated casino resort.
The Long Island location offers 80 acres, and the new deal is set for 99 years pending licensing.
Moving Forward in Bid for Casino Licensing
Earlier this week, Sands Chairman and CEO Rob Goldstein and Nassau County Executive Bruce Blakeman announced the agreement for the casino resort. The step paves the way for Las Vegas Sands to be ready to obtain one of the three downstate New York licenses.
For the agreement to be secure, the Nassau County Legislature must approve the deal. The 19-member group will review the issue during its next meeting on May 22. The property is an arena with 16,000 seats and was the former home of the National Hockey League team, the New York Islanders.
Sands has plans to spend $4 billion to offer visitors a quality entertainment spot. The property will offer outdoor community space, hotel stays, a live performance venue and casino gaming. According to officials, the project will bring jobs, tax relief, economic growth, and improved safety to Nassau County.
What Happens Next?
If Nassau County officials approve the lease agreement, the Las Vegas Sands will still need to bid for a casino license. The competition is stiff, so there is no guarantee that the company will be selected. Several top-name gaming companies are in the running, including Wynn Resorts and Caesars.
After earning approval for the lease, Sands will begin paying $5 million in rent. This amount will be paid until a gaming license is received. Once the license is procured, the company must pay $10 million. Within 60 days of approval, an additional payment of $54 million is required.
Sands already has to pay a significant amount to get started in Nassau County and will pay $25 annually in additional revenues. The county is set to benefit greatly from the project if it is approved.
The plan does have some pushback from locals. Hofstra University is currently suing the country for the lack of transparency regarding the proposal. The casino would be located near the school campus, and the educators do not believe that a casino is well-suited for the area. If enough pushback is given, it could harm Sands’ chances of selection.
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