Did MGM Exit New York Casino Race to Benefit Trump? Mayor Calls for Investigation
Posted on: October 15, 2025, 07:55h.
Last updated on: October 15, 2025, 10:18h.
- Yonkers Mayor Mike Spano wants to know why MGM abandoned its Empire City Casino bid
- Spano thinks President Donald Trump could have something to do with it
MGM Resorts International shocked the US gaming industry on Tuesday evening when it abruptly yanked its $2.3 billion plans to overhaul its Empire City Casino in Yonkers into a full-fledged casino with Las Vegas-style slot machines, live-dealer table games, and sports betting. MGM’s explanation for its withdrawal wasn’t good enough for Yonkers Mayor Mike Spano (D).
MGM was considered the betting front-runner for one of the three available downstate New York casino licenses. Empire City is currently a video lottery racino that can only offer VLT slot-like gaming machines and electronic table games.
MGM bought Empire City in 2019 for $850 million. Many saw the acquisition as MGM’s way to gain an upper hand in obtaining one of the once-coveted downstate casino concessions.
Now, MGM, which previously stated Empire City cannot survive without a full gaming license, has folded on its NYC pursuit. Spano wants answers.
“This decision by MGM defies all logic, and it’s nothing short of a betrayal to the people of Yonkers and Westchester County,” Spano said. “I am calling on Governor Kathy Hochul to launch an independent investigation into this process, because the reasons MGM gives for its 180-degree reversal just don’t add up.”
MGM’s Explanations
MGM said its Empire City pursuit was no longer attractive after the bidding was narrowed down to four bids. The Bellagio operator cited the “clustered” remaining bids, with two remaining for Queens and a third in the Bronx.
The three non-MGM bids are all closer to Manhattan than Yonkers. It’s a seemingly valid reason — a group of partiers eating and drinking in Manhattan late into the night who decide they want to gamble would be far likelier to take a short cab to Queens than make the more than 30-minute ride to Empire City.
MGM also cited unfavorable tax conditions and its expectation of receiving a 15-year gaming license instead of a more advantageous 30-year concession.
Spano believes there’s more to the story — and it has to do with President Donald Trump.
Trump’s Hand Improves
MGM’s exit leaves only three remaining bids for the downstate region, all of which are in New York City. They are Resorts World’s $5.5 billion overhaul of its VLT racino at the Queens Aqueduct Racetrack, Hard Rock and Steve Cohen’s $8 billion greenfield development at Willets Point in Queens adjacent to the billionaire’s Citi Field Ballpark, and Bally’s Bronx’s $4 billion project at Bally’s Links Golf Links at Ferry Point in the Bronx.
The Trump Organization sold the lease to the city-owned Bronx golf course to Bally’s Corp. in 2023 for a reported $60 million. The sale, like MGM’s takeover of Empire City, was viewed as Bally’s formal entrance into the New York casino race.
The Trump Organization, held by President Donald Trump and managed by his sons while he serves in Washington, DC, included a caveat in the 2023 terms that requires Bally’s to pay the company an additional $115 million if it procures the right to build a casino resort on the parkland at any point in the future.
It’s no secret that the big winner from this reversal will be Bally’s for a casino at the former Trump Links. It’s also no secret that Bally’s has a deal with Donald Trump that they will pay him an additional $115 million if they can open a casino there,” Spano said.
“People need to be assured that there is no linkage between MGM’s decision and the massive financial benefit to Donald Trump,” Spano continued. “The people of Yonkers deserve to know if this process was tainted or manipulated in any way.”
NYC Mayor Eric Adams singlehandedly rescued the Bally’s Bronx bid when he vetoed a City Council decision not to approve a land-use application to allow a commercial business development on the city-owned property. Adams has been accused of using his lame duck days to improve his odds of landing a job in the Trump administration come 2026.
Several consultants on the Bally’s team also have Trump ties, none more so than Steve Witkoff, the special envoy to the Middle East and Peace Missions. Witkoff owned the unfinished casino resort on the Las Vegas Strip that would become known as Fontainebleau after he sold it to Koch Real Estate Investments in 2021.
Last Comment ( 1 )
MGM probably pulled out after seeing how they will make more money elsewhere. Their property they are developing in Osaka stands to be a big success. Also, their upcoming property in Dubai seems promising, especially if they get a casino license in the UAE.