GGRAsia – Regulator rethink could give Genting second bite at NY

Regulator rethink could give Genting second bite at NY

Jan 12, 2015 Newsdesk Latest News, Top of the deck, World

The casino regulator in New York state, in the United States, has decided to revisit in part its December decision on new casino licences for upstate New York.

The move might give Genting Malaysia Bhd, a unit of Malaysian conglomerate Genting Bhd, a second shot at a casino there, after seeing its two bids rejected.

The State Gaming Facility Location Board on Friday announced it had accepted a request by N.Y. Governor Andrew Cuomo to review its decision not to award anyone a licence in New York City’s Southern Tier area, a zone that stretches along the state’s border with Pennsylvania.

The board in December rejected two bids, made by separate U.S.-based parties, for a casino in the Southern Tier region.

Board chairman Kevin Law said in a statement that all members agreed their previous decision “was appropriate”. But the statement added: “Nevertheless, we are willing to entertain the governor’s request to issue a new request for application for this region.”

The board has scheduled a meeting for Tuesday to discuss the matter.

Even if it decides to solicit new bids for a casino in the Southern Tier, it is unclear if Genting – or any Asian-based casino operator – would be interested in entering the contest. The Southern Tier is sparsely populated and judged economically distressed, which might make it unattractive for potential bidders.

The Genting bids rejected in December were both for New York City’s suburban Orange County.

One was for a casino in Tuxedo, where the firm planned to build a US$1.5 billion property called Sterling Forest Resort. The second bid was for a US$1-billion venue in Montgomery. It was to have been branded Resorts World Hudson Valley.

The board opted not to award a licence in Orange County. U.S.-based Caesars Entertainment Corp had also sought to build a casino there.