Mohegan Sun’s Manhattan Casino Proposal REJECTED by Panel

UPDATE: A proposed Mohegan Sun casino resort in Manhattan has been officially rejected by a community advisory committee, marking a major setback for the ambitious project. The committee, appointed by Governor Kathy Hochul and Mayor Eric Adams, voted 4-2 against the Freedom Plaza development, which aimed to include hotels, dining, and over 1,000 affordable residential units.
The vote took place on Monday, with committee members expressing minimal discussion, only thanking the developers for their efforts. This decision comes just days after developers pledged to make the proposed residential units permanently affordable in an attempt to garner local support.
Michael Hershman, CEO of the Soloviev Group, emphasized that the project would have “revitalized” Midtown East, stating, “Manhattan is the undisputed capital of the world, and it deserved a fully integrated resort that would have attracted visitors while serving the needs of its community.”
The Mohegan Sun proposal, which would have spanned over six acres from 38th Street to 41st Street east of First Avenue, was the last major casino proposal under consideration for Manhattan. This follows the rejection of two other high-profile plans, including a Jay-Z-backed Caesars Palace casino in Times Square, which faced opposition from community boards last week.
With the Mohegan Sun project now off the table, only five proposals remain in contention for up to three lucrative state gambling licenses in the New York City area. These include a Bally’s casino on a Bronx golf course, a gambling venue on Coney Island’s boardwalk, and a Hard Rock casino next to Citi Field in Queens, home of the New York Mets.
Local board approval is crucial for any proposal to advance in the competitive licensing process, with state gambling regulators expected to announce final decisions in December.
Mayor Adams, who is currently running for reelection as an independent, expressed surprise at the rejection of these projects, highlighting the potential for job creation and stability that casinos could bring to the area. “Casinos can bring jobs. It can bring stability, tourism,” he stated in a television interview prior to the vote. “So, I was surprised at some of the negative votes. Let the final process make the decision. We should not be stopping them at this local level.”
As the landscape for New York City casinos evolves, the focus now shifts to the remaining proposals and their potential impact on the city’s economy and community.
Stay tuned for further updates on this developing story.