Sands Long Island Casino Bid Bolstered by Lease Agreement Vote

Posted on: July 18, 2024, 06:30h. 

Last updated on: July 18, 2024, 06:30h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.

Las Vegas Sands’ Long Island, NY casino hopes were boosted Thursday as the Nassau County Planning Commission agreed to move forward the gaming company’s lease agreement on Nassau Coliseum.

Sands Long Island
Nassau Coliseum in Uniondale, NY. The Nassau County Planning Commission approved Las Vegas Sands’ lease agreement on the venue. (Image: LongIsland.com)

The commission signed off on a 42-year agreement that allows Sands to maintain and operate the Coliseum in Uniondale. The vote, which came amid protests from local opposition groups, positions the matter to go before legislative committees early next week. The Nassau County Board of Supervisors previously approved the county’s lease transfer to Sands in overwhelming fashion.

The company is pleased the planning commission approved the coliseum? lease and looks forward to moving forward with a process that will provide important job security to those working at the Nassau Coliseum,” according to a statement issued to the press by Sands spokesman Ron Reese.

Nassau County and Sands were forced to go back to square one on the lease accord after New York State Supreme Court Justice Sarika Kapoor ruled last November that the original agreement violated the state’s open meeting laws and didn’t provide adequate time for public comment and environmental review.

Sands Has Big Plans on Long Island

If it wins one of the three downstate casino permits New York regulators have yet to award, Sands pledged to build a $6 billion casino hotel at the Nassau Coliseum — a site that’s lost a lot of its luster after the NHL’s New York Islanders moved to Brooklyn following the 2014-15 season.

The gaming venue could serve to rejuvenate the coliseum site and bring with it thousands of good-paying construction and permanent jobs. Those jobs would boost income tax collection and coupled with sales and other taxes associated with a casino, the project — if approved — could be a boon for state and local coffers.

New York regulators haven’t signaled if there are favorites for the three downstate permits, but it’s widely believed MGM Resorts International’s Empire City Casino in Yonkers and Genting’s Resorts World New York in Queens are well-positioned to win two of the three licenses. There’s also been speculation that Sands is one of the more viable contenders for the remaining permit.

There are tangible benefits to focusing on Long Island. Not only would an integrated resort project there avoid bringing more traffic congestion to Manhattan, but Nassau County is the second-most populous county in New York after New York City. Additionally, Long Island is a short drive to the Kennedy and LaGuardia airports.

Why Lease Agreement Matters

Thursday’s vote is just one in a series of steps that could cement Sands’ ties to Nassau County, but it’s meaningful because without a permanent agreement in place, it’s tough to schedule events at the Coliseum and that could put 400 jobs at risk.

As for when New York will make decisions on winning bids for the downstate licenses, that’s expected to happen late next year, but that’s the most optimistic scenario.

Earlier this year, Sands CFO Patrick Dumont said the New York bidding process lacks clarity and has been “confusing and disappointing.”