Saks Fifth Avenue has formally pulled out of the race for one in all New York’s three downstate gaming licenses, marking a high-profile withdrawal from the more and more aggressive bidding course of. The division retailer confirmed to Crain’s New York Enterprise that it had withdrawn its software, stating it was now “targeted on different strategic priorities.”
Saks abandons on line casino plan for Fifth Avenue flagship:
The upscale retailer first unveiled its proposal in January 2023, envisioning a 200,000-square-foot on line casino atop its flagship retailer at 611 Fifth Avenue. The deliberate venue would have occupied the ninth flooring of the 12-story constructing, at the moment residence to sections for discounted clothes, seasonal décor, and kids’s books. Only a week after saying the concept, Saks launched glitzy renderings showcasing a red-carpet entrance, luxurious interiors, and a rooftop area providing views of Rockefeller Heart.
Regardless of the promising idea, progress shortly stalled. In response to The Actual Deal, the challenge confronted sturdy resistance from the area people board, which opposed the introduction of any on line casino to the district. The placement’s proximity to the landmarked St. Patrick’s Cathedral additionally raised considerations.
A important lacking piece in Saks’ proposal was a confirmed gaming operator. In contrast to competing bids that partnered with main on line casino manufacturers, Saks by no means disclosed a collaboration with a licensed operator, a key factor required for severe consideration.
Though lobbyists from Cozen O’Connor continued selling the concept as late as July 2024, indicators of disengagement had already begun to emerge. Hudson’s Bay Firm, the guardian firm of Saks Fifth Avenue, reportedly stopped lively participation within the licensing course of within the months main as much as the announcement.
The proposal, impressed partially by the aesthetics of James Bond’s On line casino Royale, aimed to repurpose current higher flooring of the historic retail constructing as an alternative of establishing a brand new facility. This method might need provided effectivity by way of time, with completion estimated at below a yr, however it might have resulted in considerably fewer building jobs in comparison with the extra bold, ground-up tasks being put ahead by different bidders.
On line casino competitors strikes forward with out Saks:
With Saks’ withdrawal, ten main proposals stay in competition for the three licenses. Notable bids embody Steve Cohen’s $8 billion “Metropolitan Park” close to Citi Discipline, the Freedom Plaza on line casino idea close to the United Nations by the Soloviev Group, and a Caesars Palace Occasions Sq. plan backed by Jay-Z’s Roc Nation.
Cohen’s proposal just lately gained momentum after the New York Metropolis Council accredited zoning adjustments in March. His group additionally launched plans for a 100% inexpensive housing improvement close by in Corona to reinforce neighborhood enchantment. In the meantime, the Soloviev Group revealed up to date renderings of a virtually 5-acre waterfront park surrounding its Freedom Plaza proposal, full with a central garden, play areas, and an amphitheater.
Business insiders extensively anticipate two of the three obtainable licenses to go to current venues—Empire Metropolis On line casino in Yonkers and Resorts World New York in Queens—each of which have already generated vital tax income for the state. This has left most remaining bidders competing for only one obtainable slot.
Functions for the licenses are due by June 27. Every proposal should move a neighborhood evaluation by six-member neighborhood boards earlier than advancing to a five-person state panel, which is predicted to announce remaining selections by December 1, 2025.
