ALBANY, N.Y. (AP) — A crucial competition to determine who will construct a casino in New York City could lead to a $115 million windfall for President Donald Trump.
The Republican stands to gain significantly if state authorities grant one of the three available gaming licenses to Bally’s Corp., which intends to establish a casino at a city-owned golf course formerly managed by Trump’s company.
In 2023, Bally’s paid Trump $60 million for the rights to operate the public 18-hole course located on the Bronx waterfront, where the East River converges with the Long Island Sound.
The gaming company quickly removed the prominent “Trump Links” sign that was incredibly conspicuous for motorists crossing the Whitestone Bridge, rebranding the course as Bally’s Golf Links at Ferry Point.
However, as part of a little-known side agreement, Bally’s committed to paying Trump an additional $115 million if they were to obtain a license to open a casino at that location.
The correspondence disclosing this arrangement was included as an evidence exhibit in a trial regarding New York state’s claims that Trump consistently misrepresented the value of his assets in financial documents submitted to banks. The letter describes the nonrefundable $115 million payment as a “gaming event fee.”
Bally’s did not respond to requests for comment.
Trump’s involvement with Bally’s initiative could serve as a wild card in New York’s casino race.
At least 11 contenders have expressed interest in securing the right to establish what would be the first full-service casino in the city and its nearby suburbs.
The competition has attracted major players: Caesars Palace has plans to develop a casino in Times Square; the owner of Saks Fifth Avenue is looking to place a casino atop their luxury department store in Manhattan; and Steve Cohen, the owner of the New York Mets, is proposing a casino right outside the baseball team’s home stadium in Queens. Other plans include casinos near the Coney Island boardwalk, at the Long Island arena that once housed the New York Islanders, or in new skyscrapers being developed in Manhattan.
Two additional bidders aim to expand existing operations. MGM Resorts plans a significant upgrade of its current Empire City “racino,” located at a horse racing track in the Yonkers suburb. Genting seeks to carry out a multi-billion dollar expansion of its Resorts World racino adjacent to the Aqueduct horse track in Queens. These two gambling venues are currently limited by law to slot machines and a selection of other machine-operated games.
The Trump Organization did not immediately respond to an emailed request for comment.
It is uncertain how Trump’s association with one of the bidders might influence the selection process.
Applications are expected to be submitted to a state board by late June. Initially, they will be evaluated by community advisory committees composed of appointees from the governor, mayor, and state and local officials. Their role is to assess any local support or opposition. The proposals will then return to the state’s gaming board, which anticipates awarding licenses by the year’s end.
Applicants must also secure various zoning or land-use approvals based on the location and scope of their projects. Bally’s proposal is likely to require the state Legislature to pass legislation permitting the company to build a casino on public parkland.
The federal government does not play any role in the selection process for state casino licenses.
Trump remains highly unpopular among several public officials in New York who will influence the decision-making process, and this disfavor could become a disadvantage for Bally’s bid.
Moreover, it’s plausible that someone may attempt to leverage Trump’s financial connection as a negotiating tool.
New York Governor Kathy Hochul has had conflicts with the Trump administration over immigration policies, federal funding for the city’s subway system, and a tolling initiative in Manhattan. The Trump administration is also trying to revive a plan to construct a natural gas pipeline through New York that was halted in 2017 by state environmental regulators.
New York City Mayor Eric Adams, meanwhile, has faced considerable pressure to demonstrate his political independence after the Justice Department moved to drop his corruption case, allowing him to assist with the Trump administration’s immigration agenda.
Trump, whose Trump Organization manages over a dozen golf courses globally, initially acquired the rights to operate Ferry Point in 2012.
The city invested more than $120 million to create the Jack Nicklaus-designed course on a former landfill, envisioning an East Coast equivalent of the renowned Pebble Beach links in California and major championships that never came to fruition.
