Suffolk Off-Track Betting will break ground on a $210 million expansion of New York’s Jake’s 58 Casino Hotel in Long Island that will double the number of betting terminals at the gambling parlor and more than triple the number of parking spaces. OTB officials expect the expansion to alleviate chronic shortages of video lottery terminals and parking spaces while increasing annual revenue by as much as 42%.
The expansion, the first since the casino opened in 2017, will double terminals to 2,000 and increase parking from 600 spaces to close to 2,000, Suffolk OTB President Phil Boyle said Friday, as reported by local media. The project also includes new pubs, restaurants, and space for conferences and wedding receptions.
The expansion comes ahead of its competitors vying for the coveted NYC casino licenses. “We’re not vying for one of the licenses, and as a matter of fact, I think that wherever those casinos are located, we are going to be able to compete very well,” Boyle told the New York Post.
According to the executive, construction is expected to take at least two years. Up to 150 betting terminals may be removed while the expansion takes place in order to minimize disruption.
The project includes a new, 110,000-square-foot building behind the existing facility, Boyle said, which will house 1,000 new betting terminals, plus about 500 machines transferred from the current casino.
Phil Boyle Suffolk OTB President
Betting terminals will be reduced to 500 in the current building, which will have new dining areas. Additionally, the hotel’s 210 rooms will also be updated.
“We are going to basically double the size of the current casino,” Boyle explained to the above-mentioned media. According to state figures, 45% of Jake’s annual gross revenue goes to the public education system. The remaining 55% goes to Suffolk County, the state Gaming Commission, and the horse racing industry.
OTB estimates show gross casino revenue could grow from $273 million last year to $388 million in the first full year after construction is completed. Construction is expected to create 800 jobs, and the upgraded casino will add 125 permanent positions.
The project coincides with state plans to add three traditional downstate casinos. State officials are weighing numerous proposals. Potential bidders for the NYC licenses include Las Vegas Sands Corp., Wynn Resorts Ltd., and financier Steve Cohen, who has partnered with Hard Rock International. Under New York’s casino law, winners of the licenses will pay a one-time $500 million fee to the state and bidders are expected to compete based in part on how much they are willing to pay in taxes.
State officials are expected to select sites by the end of 2025, pushing the earliest a gaming facility could open in the metro area to sometime in 2026.
OTB earlier this year filed a state Supreme Court lawsuit challenging Islip Town’s decision to assess 75% of Jake’s 58 for property taxes. OTB says the casino and hotel should be tax-exempt as government property; Islip says the hotel should be taxed as a commercial entity. According to Boyle, OTB’s $2.25 million annual payment to the Village of Islandia will jump to $4.25 million annually.
Original article: https://www.yogonet.com/international/noticias/2024/04/15/71727-new-york-suffolk-otb-to-break-ground-on-210m-expansion-of-jake-39s-58-casino-hotel-in-long-island
