Posted on: January 7, 2025, 10:18h.
Last updated on: January 7, 2025, 10:25h.
MGM Resorts International acquired the Empire City Casino and Yonkers Raceway in 2019 for $850 million. Since then, the gaming giant has generated more than $5 billion for the State of New York.
Empire City Casino is a racino that offers slot-like video lottery terminals (VLTs). The centralized VLT system is maintained by the New York Gaming Commission.
Empire City retains 39.5% of the monthly gross gaming revenue (GGR) from its more than 4,400 VLT positions. Of the remaining net win, 50.5% goes to the New York State Education Fund and 10% goes to gaming manufacturers and the Gaming Commission.
Since taking control of the Westchester County property, MGM tells Casino.org this week that its gaming operations have benefited K-12 public education by more than $5 billion.
“The $5 billion in education funds represents approximately 30% of the total funds generated for education by all VLT casinos across the state, reinforcing Empire City’s pivotal role in New York’s economic well-being,” an MGM Resorts statement read. “On average, Empire City has contributed more than $25 million per month for education. In addition to supporting education, Empire City also generates hundreds of millions of dollars annually to support harness racing and both state and local governments.”
As of December, Empire City Casino had 4,448 VLT positions. Each machine averaged $356 in daily win.
Bigger Focus
MGM Resorts bought Empire City not only for its dominating VLT position, but also in preparation for improving the company’s odds of securing one of the state’s three downstate casino licenses. The New York Gaming Facility Location Board is expected to decide which three bids receive casino concessions for slots, live dealer table games, and in-person sports betting next year.
With MGM’s longstanding in downstate New York, most gaming analysts think the company is a front-runner for one of the licenses, though nothing is set in stone. Should MGM win one of the coveted full-scale casino permits, which cost a one-time price of $500 million, the company says it would overhaul the Yonkers Raceway into MGM Empire City.
Empire City is preparing to secure a commercial casino license that would allow it to replace computerized electronic table games with live dealers, offer retail sports betting, Class III Vegas-style slot machines, and expanded amenities. MGM Resorts recently unveiled its vision to transform Empire City into a world-class entertainment destination, MGM Empire City, should it be awarded a commercial casino license,” the release added.
Since acquiring Empire, MGM has invested in significant upgrades to the property, including enhancements to the 125-year-old historic racecourse. A new VIP gaming room, an employee dining area, and new LED lighting have also been installed.
Job, Tax Generator
With a full-scale casino license, MGM Resorts says Empire City would undergo a complete casino floor redevelopment and a 5,000-seat entertainment venue would be built. Multiple food and beverage outlets from celebrated chefs and a late-night lounge are also included in the pitch. No on-site hotel has been discussed.
The transformation of Empire City, MGM adds, would create 2,500 direct jobs and generate a more than $1 billion annual economic impact for the region. The project would also support over 10K indirect and induced jobs.
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