DraftKings Not in Play for Long Island Casino
Posted on: May 29, 2025, 03:42h.
Last updated on: May 29, 2025, 03:42h.
- Las Vegas Sands, DraftKings reportedly held talks on Long Island casino plan
- Companies discussed possible partnerships with DraftKings, but those talks stopped
Count DraftKings out as a potential candidate to take over Las Vegas Sands’ lease at the Nassau Coliseum in Uniondale, NY.
The two gaming companies reportedly held discussions about the sportsbook operator possibly stepping in for Sands on the Long Island casino effort, but those negotiations have dissolved and it now appears highly unlikely DraftKings will be part of any effort to bring an integrated resort to Nassau County, according to two unidentified sources with knowledge of the matter.
There is no deal between the companies nor will there be,” one of the sources said in an interview with Newsday. “DraftKings will not be taking over the Sands bid.”
Citing the risks of New York possibly legalizing iGaming in the future, Las Vegas Sands bowed out of the downstate casino competition last month. At that time, the operator said it hoped to find a gaming company with both brick-and-mortar and online experience to take over its Long Island obligations. It hoped to make an announcement to that effect in a matter of weeks, but with the June 27 deadline to submit New York City-area casino applications nearing, Sands hasn’t found a replacement.
DraftKings Would Have Been Surprising Replacement
DraftKings would have made for an interesting, though surprising replacement for Sands on Long Island because it is not involved in the day-to-day operations of land-based gaming venues.
While there’s at least one land-based casino bearing the DraftKings brand, the company doesn’t run it. Rather, it’s emphasis is an asset-light, internet model that’s paved the way for it to become one of the two largest online sportsbook operators in the US and one of the biggest players in the internet casino industry.
Boston-based DraftKings holds a New York sports betting license and is one of the top companies by market share in the state, so it would’ve checked that and the iGaming box as a potential replacement for Las Vegas Sands.
Newsday reported that DraftKings held talks with “potential partners” — presumably gaming companies, though that’s not clear, about the Nassau Coliseum site — but those discussions halted and show no sign of resuming. Last week, Sands published the results of a final environmental impact study (FEIS), which indicated a Long Island casino hotel project could cost as much as $7.6 billion, or nearly double the $4 billion the operator initially forecast. That implies the pool of potential gaming substitutes for the site is shallow.
Sands Still Pursuing Zoning Changes
The Las Vegas-based casino operator continues pursuing zoning changes for the site because those are necessary to advance any new project at Nassau Hub, gaming or otherwise. Earlier this week, representatives from Sands acknowledged it’s possible the June 27 application deadline will arrive before a gaming partner is identified and agrees to take on the Nassau Coliseum lease.
That makes the zoning changes all the more vital because if those alterations are made, it could make Nassau Hub more appealing to a broader set of developers beyond those with ties to the gaming industry and that’s relevant because it’s not set in stone that Sands must find another casino firm to move into Long Island.
At this juncture, it appears possible that the field of downstate casino bidders could fall to seven from the original 11. Saks Fifth Avenue and Wynn Resorts are already out. The Long Island bid could be added to that group and if Bally’s doesn’t get parkland alienation permission in the Bronx, it too would likely face difficulty in meeting the June 27 deadline.
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