MGM on Tuesday unexpectedly withdrew its casino license application for Empire City in Yonkers.
“Today, MGM Resorts made the difficult decision to withdraw its application for a commercial casino license in Yonkers, New York,” the company said in a statement. “Since submitting our application in June, the competitive and economic assumptions underpinning our application have shifted, altering our return expectations on the proposed $2.3 billion investment.”
The company said their bid to become a full-fledged casino with table games was contingent on receiving a 30-year license but “based on newly issued guidance from the State of New York,” they now only expect to qualify for a 15-year license.
MGM also cited “the newly defined competitive landscape — with four proposals clustered in a small geographic area” — as posing additional challenges to the returns they initially anticipated from the project.
MGM would have renovated Empire City Casino at Yonkers Raceway to include a sportsbook, high-limit lounge, a 5,000-seat venue, new restaurants and event spaces, a parking garage and more. The proposal also included commitments to improving local streets and parks.
While the expansion will not go ahead as planned, MGM said it intends to keep Empire City’s slot parlors open.
“We remain committed to operating the property in its current format and believe it will continue to enjoy success serving customers in Yonkers and the surrounding communities,” the statement read.
MGM’s proposed Empire City Casino advanced to the final round of consideration for a lucrative state license last month — marking one of the only NYC-area casino applications to so far survive the committee approval process.
There are now only three remaining contenders in the high-stakes contest for up to three gaming licenses at downstate locations: two in Queens at Resorts World at the Aqueduct Racetrack and Citi Field — backed by Mets owner Steve Cohen — and a Bally’s in The Bronx at the former Trump golf course.
Proposals for casinos in Times Square and Hudson Yards previously fell apart over neighborhood opposition, but MGM’s proposal had passed a community vote.
My statement @EmpireCCasino @GovKathyHochul @realDonaldTrump pic.twitter.com/PH22PMiile
— Mayor Mike Spano (@MayorMikeSpano) October 14, 2025
Yonkers Mayor Mike Spano was blindsided by Tuesday’s announcement and called for an investigation.
“This decision by MGM defies all logic, and it’s nothing short of a betrayal to the people of Yonkers and Westchester County,” Spano said in a statement. “I am calling on Governor Hochul to launch an independent investigation into this process, because the reasons MGM gives for its 180-degree reversal just don’t add up.”
“It’s no secret that the big winner from this reversal will be Bally’s proposal for a casino at the former Trump Links in Whitestone,” Spano continued. “It’s also no secret that Bally’s has a deal with Donald Trump that they will pay him an additional $115 million if they can open a casino there.”
Spano, noting that the same rules apply to other bidders who have not withdrawn their applications, said an investigation is necessary to assure his community that there’s “no linkage between MGM’s decision and the massive financial benefit to Donald Trump.”
“The people of Yonkers deserve to know if this process was tainted or manipulated in any way,” he concluded. “Something doesn’t add up here. The people deserve answers.”
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