Decision on proposed Avenir casino in Manhattan could go either way
Committee hearings showed divided community opinion on the Hell’s Kitchen casino proposal.
US.- All bets are off on the prospects of the proposed $7bn Avenir casino project in Manhattan after committee hearings saw divided public opinion. A second hearing at the Javits Center lasted five hours with around 200 people speaking.
Silverstein Properties says its proposal for a 1,000-room Hyatt hotel, casino, entertainment venue and 2,000 residential units at 11th Avenue and 41st Street near Hudson Yards in Midtown West would generate considerable economic impact and create 9,000 jobs. Unions, business leaders, and advocacy groups also tended to support the proposal at the last hearing, as did several non-profits that are working with Silverstein.
Renata Alexis, a senior vice president at Covenant House, said: “The Avenir will not only create affordable housing for New York City youth, but also jobs so that the youth who we help overcome homelessness can sustain their housing.”
However, many people who live near the proposed site voiced fierce opposition. Retirees from Manhattan Plaza said the casino could undo progress that had been made on neighbourhood safety.
New York casino timeline
With the requisite two community hearings now complete, the six-member Community Advisory Committee assigned to review the proposal and feedback now has until September 30 to decide whether to advance the project to compete for one of three available downstate New York casino licences.
There are eight New York casino proposals, three of them in Manhattan. To progress to the next stage of the competition, the proposals must win a majority of votes from their respective Community Advisory Committees, so at least four votes out of six. Bidders approved to move forwards will need to pay the application fee before progressing to a review stage overseen by the Facility Location Board.
The Facility Location Board will then evaluate proposals based on four criteria: economic development (weighted at 70 per cent), local site impact (10 per cent), workforce development (10 per cent), and diversity initiatives (10 per cent). Up to three winning bids will be chosen by December 1.
As part of their submissions, casino licence applicants have been invited to make competitive proposals for the tax rate they would be willing to pay, which would have to be at least 25 per cent on slot revenue and 10 per cent on other gaming revenue. The competitive approach suggests the state hopes bidders will offer over the minimum. Online sports betting in New York is taxed at 51 per cent, but physical casinos may struggle to compete with Atlantic City if the rate is overly high.
