In brief
The Mohegan Sun's ambitious development plan, which included hotels, restaurants, and over 1,000 affordable housing units, was voted down by a New York community panel amid concerns about community interests. The rejection comes as other casino proposals are also being evaluated in the competitive New York City gaming market.
NEW YORK (AP) — The dream of a casino in Manhattan has been dashed as a community panel has voted against a proposed Mohegan Sun resort located near the United Nations headquarters.
The proposal, known as Freedom Plaza, also included plans for hotels, retail, dining, entertainment, and residential units. However, it was rejected by a state-sanctioned advisory committee with a vote count of 4-2 on Monday. The committee, consisting of appointees from NY Governor Kathy Hochul, Mayor Eric Adams, and other local officials, did not engage in substantial debate before casting their votes, merely thanking the developers for their efforts.
In a last-minute attempt to garner support, the developers had pledged to make over 1,000 residential units in the project permanently affordable, alongside commitments to community projects including a museum, community center, daycare, and public open spaces.
Michael Hershman, CEO of the Soloviev Group, which spearheaded the $11 billion project, expressed disappointment, claiming that the resort would have revitalized Midtown East and attracted visitors while also benefiting the community's needs.
The entire development encompassed more than six acres between 38th and 41st Streets, east of First Avenue, and was the last proposal under consideration for Manhattan.
Recent past proposals for a Caesars Palace casino backed by Jay-Z in Times Square and another casino on the West Side were also rejected by community boards last week. As it stands, five casino proposals remain in contention for up to three state gambling licenses in New York City, including a Bally’s casino in the Bronx and a Hard Rock casino near Citi Field in Queens.
Local approval is a crucial step in the process as state regulators plan to finalize decisions in December. Mayor Adams, who is facing reelection, expressed surprise at the outcome of some high-profile proposals since casinos are seen as potential job creators and tourism drivers.
