Manhattan’s Casino Dreams Dashed: Freedom Plaza Plans Are Rejected

Manhattan’s aspirations to host a full-service casino have come to an end. The final proposal for Freedom Plaza was voted down by the Community Advisory Committee (CAC), effectively eliminating the borough from contention for one of New York’s three coveted downstate casino licenses.

Freedom Plaza was an ambitious $11 billion project spearheaded by the Soloviev Group and Mohegan Gaming. Situated along Manhattan’s East Side near the United Nations, the proposal included a 300,000-square-foot casino, two hotel towers, two residential buildings, a Museum of Democracy, and a public park. Despite last-minute amendments to increase the number of affordable housing units, the project failed to secure the necessary support from the CAC.

Freedom Plaza's rejection mirrors the fate of two other Manhattan casino proposals. Earlier this month, a $5.4 billion Caesars Palace casino in Times Square and a $7 billion project by Silverstein Properties in Hudson Yards were also voted down by their respective CACs. All three projects were denied in swift 4–2 votes, with opposition from local lawmakers and community members citing concerns over traffic congestion, public safety, and the potential impact on local businesses.

The role of community advisory committees is pivotal in New York's casino licensing process. Each proposal must secure a two-thirds majority vote from its respective CAC to advance to the state-level selection process. In Manhattan's case, all three proposals fell short of this threshold, despite support from appointees of Governor Kathy Hochul and Mayor Eric Adams. The mayor's office expressed disappointment over the rejections, emphasizing the potential loss of investment, housing, and employment opportunities.

National comparisons reveal that the setbacks in Manhattan reflect similar outcomes elsewhere in the United States. For instance, in 2019, the proposed casino project at the Miami-Dade Convention Center was canceled after community pushback and regulatory hurdles prevented it from moving forward. Like Freedom Plaza, the Miami proposal faced concerns over local traffic, housing, and public interest. These examples highlight how ambitious urban casino projects must strike a balance between economic potential and community approval, illustrating that even well-financed, high-profile developments are not guaranteed success.

With Manhattan out of the running, attention now turns to proposals in other boroughs. Projects in Queens, the Bronx, and Yonkers remain under consideration. The New York State Gaming Commission is expected to make final licensing decisions by December 1, 2025, to issue licenses by December 31, 2025.

The rejection of Manhattan's casino proposals has sparked debate about the future of gaming in New York City. While some view the decisions as a victory for community interests, others argue that the city has missed an opportunity for economic growth, tourism, and job creation. As the state prepares to award licenses, the focus will shift to ensuring that future developments align with community values and contribute positively to the city’s fabric.

Ultimately, Manhattan’s casino proposals demonstrate the complex balance between economic ambition and community priorities. While the borough missed this opportunity, lessons learned may guide future urban development and investment strategies.

As New York moves forward, the casino licensing process may serve as a test case for how major developments are negotiated in densely populated cities. Striking compromises between investors, policymakers, and residents will be critical, not just for gaming projects, but for the city’s broader economic and cultural growth.

Note: The information provided in this article is based on publicly available sources and does not constitute financial or investment advice. Investors should conduct their own research and consult with financial professionals before making investment decisions.