MGM Yonkers Submits Commercial Casino License Application in New York: A $2.3 Billion Vision for Empire City

YONKERS, N.Y. – June 26, 2025 – MGM Yonkers Inc., a prominent subsidiary of MGM Resorts International (NYSE: MGM), today officially submitted its comprehensive commercial casino license application to the New York Gaming Commission and the Gaming Facility Location Board. This pivotal submission outlines a transformative $2.3 billion proposal aimed at converting its historic Empire City Casino site into a premier commercial casino and entertainment destination, signaling a significant expansion of MGM's footprint in the lucrative New York market.

The ambitious plan for Empire City is designed to create a world-class integrated resort, offering an unparalleled blend of gaming, hospitality, entertainment, and dining experiences. The proposed development includes a state-of-the-art casino floor, luxury hotel accommodations, diverse culinary options ranging from fine dining to casual eateries, and a cutting-edge entertainment venue capable of hosting major concerts and events. This extensive redevelopment is poised to not only elevate the gaming landscape in New York but also to serve as a major economic catalyst for Yonkers and the broader Westchester County region.

Economic Impact and Job Creation

MGM's proposal emphasizes substantial economic benefits, projecting thousands of new construction jobs and permanent operational positions. The company anticipates that the project will generate significant tax revenues for both the state and local municipalities, contributing to public services and infrastructure improvements. This economic injection is particularly timely as New York continues its post-pandemic recovery efforts, with the tourism and hospitality sectors playing a crucial role.

The transformation of Empire City is expected to attract a broader demographic of visitors, including tourists from across the tri-state area and beyond, boosting local businesses and creating a ripple effect throughout the regional economy. The enhanced facility will also likely increase foot traffic to nearby retail establishments and cultural attractions, further solidifying Yonkers' position as a vibrant destination.

Strategic Rationale and Market Context

MGM Resorts International's decision to pursue a full commercial casino license in New York aligns with its long-term strategy of expanding into high-growth urban markets with strong demographic fundamentals. New York represents one of the largest and most attractive gaming markets in the United States, with a substantial population base and high disposable income. Securing one of the coveted downstate casino licenses would provide MGM with a significant competitive advantage and a direct gateway to a vast customer base.

The competition for these licenses is fierce, with several other major gaming operators also vying for a piece of the New York market. MGM's existing presence at Empire City, coupled with its proven track record of developing and operating world-class integrated resorts globally, positions it as a strong contender. The $2.3 billion investment underscores MGM's commitment and confidence in the project's potential returns.

Regulatory Landscape and Approval Process

The application process involves rigorous scrutiny by the New York Gaming Commission and the Gaming Facility Location Board. Key considerations include the financial viability of the project, the applicant's experience and integrity, the proposed economic benefits, and the community impact. The decision-making process is expected to be thorough and may take several months, with public hearings and environmental reviews forming part of the assessment.

Successful approval would grant MGM Yonkers one of the limited commercial casino licenses, allowing for the full expansion of gaming offerings, including live dealer table games, which are currently restricted at Empire City. This expansion is crucial for maximizing revenue potential and competing effectively with established commercial casinos in neighboring states.

Investment Insights for MGM Shareholders

For investors in MGM Resorts International (NYSE: MGM), the successful acquisition of a New York commercial casino license would be a significant positive catalyst. It would unlock substantial growth opportunities in a premium market, potentially leading to increased revenue streams, enhanced profitability, and a stronger competitive position. The $2.3 billion investment, while substantial, reflects MGM's strategic commitment to long-term value creation.

Investors should monitor the progress of the application closely, as regulatory approvals can be subject to delays or unexpected challenges. However, the proactive submission of a detailed and well-funded proposal demonstrates MGM's strong intent and strategic foresight. A positive outcome would reinforce MGM's status as a leading global gaming and entertainment company, potentially driving share price appreciation and dividend growth in the long run. Conversely, a denial, while unlikely given the strength of the proposal, could lead to short-term negative sentiment.

This move by MGM Yonkers is a clear indication of the company's aggressive growth strategy and its commitment to capitalizing on high-potential market opportunities. The proposed transformation of Empire City into a full-fledged commercial casino and entertainment hub promises to be a landmark development for both MGM and the New York gaming landscape.