Real Estate

Hell’s Kitchen and Times Square casino proposals rejected

There will be no casino in Hell’s Kitchen or Times Square. Bids by Silverstein Properties to build the $7 billion “Avenir” on Manhattan’s far West Side and a Caesars Palace casino on Broadway by SL Green were rejected by community advisory committees on Wednesday, killing both proposals. Six remaining proposals vying for one of three downstate casino licenses to be awarded this year will be voted on by the committees this month.

(L) The Avenir. Credit: Silverstein Properties / Binyan Studios (R) Caesars Palace Times Square. Image by Binyan Studios

As part of the approval process, a six-member Community Advisory Committee (CAC)—appointed by elected officials—reviews each casino proposal and votes based on the level of local support.

Both votes were contentious until the very last second. On Tuesday at 10:50 p.m., Silverstein unsuccessfully requested a delay after the CAC reportedly sent a last-minute request asking the developer to respond to more than 20 questions about the proposal.

“Despite the Avenir team working in good faith throughout the process to respond to questions and concerns and amend our proposal as needed, last night at 10:50 p.m., the CAC made a very significant request and our team has not been given a chance to consider this request before today’s vote,” the project’s team said before Wednesday’s vote.

At the hearing for SL Green’s project, CEO Marc Holliday expressed visible frustration with the committee, calling the rejection a “despicable display or cowardice” that ignored the benefits the developers had offered, including a last-minute commitment to fund accessibility improvements at the Times Square and 49th Street subway stations, Crain’s reported.

Gov. Kathy Hochul and Mayor Eric Adams were the only two officials to vote in favor of the projects.

Council Member Erik Bottcher cast the decisive “no” votes on Wednesday, saying his decisions were informed by “countless conversations in coffee shops, living rooms and on street corners, [and] extensive public engagement and careful deliberation,” as reported by W42ST.

While recognizing the economic potential of both projects, Bottcher said casinos face a “high bar” for community support that has not been met. Manhattan Borough President Mark Levine acknowledged that casinos generate jobs, tax revenue, and nonprofit contributions, but said these benefits are outweighed by the risks of destabilizing Broadway and worsening congestion, safety, and quality-of-life issues in Times Square and Hell’s Kitchen.

“Ultimately, despite real and significant economic benefits, I believe the risks to Broadway, to the cultural heart of our city, and to the surrounding communities are simply too great at these two proposed locations. For these reasons, I will be voting no on Caesars Palace Times Square and The Avenir,” Levine said.

According to the New York Times, local theater owners and producers were among the most vocal critics of the Caesars casino, fearing it would threaten the entertainment industry and alter the neighborhood’s character.

“This was a vote to protect the magic of Broadway for the one hundred thousand New Yorkers who depend on it for their livelihoods, and for the tens of millions who come from around the world to experience it,” Jason Laks, president of the Broadway League, said in an official statement. “A casino can go anywhere, but Broadway only lives here.”

Silverstein’s proposal called for a 785-foot tower at 41st Street and 11th Avenue, featuring a 1,000-room luxury hotel, restaurants, a food hall, and a gaming facility. Designed by CetraRuddy Architecture and Steelman Partners, the developer unveiled updated renderings in May showing a podium with a facade of “gentle harmonious waves,” topped by a sculpted 45-story tower.

The project recently included over 100 permanently affordable off-site apartments in various layouts as part of the deal—an effort to win over local residents.

SL Green’s proposal aimed to open a casino at 1515 Broadway, backed by Jay-Z’s Roc Nation. The plan would redevelop the 54-story office tower into “Caesars Palace Times Square,” featuring a hotel, wellness center, theater space for “The Lion King,” and a wide array of entertainment, dining, and beverage options.

“While we disagree with the outcome of this process, we remain committed to advocating for positive change in the city we love,” Caesars Palace Times Square said in a statement.

“We’ve built strong relationships with a community that is eager for progress, and we hope that those who opposed this project—both in the public and private sectors—will now bring the same energy and resources to solving the very real challenges facing Times Square.”

Six casino proposals remain in the running for a license. These include New York Mets owner Steve Cohen’s $8 billion “Metropolitan Park” next to Citi Field; “The Coney” in Coney Island; MGM Empire City in Yonkers; the Soloviev Group’s “Freedom Plaza” project next to the United Nations headquarters, Resorts World NYC in Jamaica, Queens, and the controversial Bally’s Bronx casino in Ferry Point Park.

In July, Bally’s casino proposal faced a similar setback when the City Council voted 29-9, with four abstentions, to approve a motion by Council Member Kristy Marmorato denying the land-use changes needed to build the gaming facility on the former Trump-owned golf course. Mayor Adams later vetoed the Council’s rejection, and the body is now set to consider overriding the veto.

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