In the latest sign of the high-stakes battlefield for New York’s coveted casino licenses, retailer Saks Fifth Avenue wants to open its own upscale gambling rooms at its namesake Manhattan flagship, according to a report.
Saks is eyeing one of up to three downstate casino licenses that New York is set to give, according to the New York Post, citing Richard Baker, executive chairman and chief executive of Toronto-based HBC, which owns the Saks chain.
HBC didn’t immediately respond to a CoStar News request seeking comment.
The New York Gaming Facility Board recently issued a request for applications that has set the stage for a heated fight among developers and casino operators in an increasingly crowded field of potential contenders.
The minimum capital investment and license fee for applicants seeking to build a commercial casino is $500 million each, with the application fee for a license alone costing $1 million.
The luxury department flagship, located at 611 Fifth Ave. between East 49th and 50th streets and by St. Patrick’s Cathedral and Rockefeller Center, wants to create a casino on the top three floors of the building, starting on the ninth, Baker told the Post, adding that servers dressed in black ties will hand out champagne flutes to gamblers. He said Saks will create a separate entrance on a red carpet to welcome guests.
Baker told the Post the company has “been quietly working” with community groups including Broadway theaters, retailers and government officials for their support, adding HBC’s plan has the support from Broadway League, which represents theater owners and is said to reject the bid to open a casino nearby in the heart of Times Square from SL Green Realty, the city’s largest commercial landlord, and Caesars Entertainment, the biggest U.S. casino-entertainment company. Billionaire rapper Jay-Z’s entertainment company, Roc Nation, has joined their bid.
Developers and gaming companies applying for a license will have to obtain approval from a local community advisory committee and get all municipal zoning and land-use requirements before any application will be evaluated, the gaming facility board said recently.
Baker told the Post a casino on Fifth Avenue will help revive the iconic shopping stretch that is still struggling to recover from the fallout of the pandemic. He said a casino also will help bring foot traffic to Fifth Avenue after stores close. He declined to say if Saks plans to partner with any casino operators on the bid.
Other developers and casino resort companies already rolling the dice on a license also include developer Thor Equities, which in November unveiled a $3 billion-plus casino, hotel and entertainment proposal for New York’s Coney Island.
Related Cos. has said it teamed up with Wynn Resorts to pursue a downstate casino license at Western Yards, directly next to the Javits Center convention venue, at Hudson Yards, the largest U.S. private development.
Vornado Realty Trust CEO Steven Roth also has said his firm continues to be “very interested” in the realm also, adding that he expects a “very competitive process.”
The Mets owner Steven Cohen is said to be eyeing a casino license in Queens near Citi Field as New York is set to build its first professional soccer-specific stadium in Queens as part of a megadevelopment.
Stefan Soloviev, son of the late developer Sheldon Solow, also is said to be interested in applying for a license to operate a casino just south of the United Nations in Manhattan.
Grocery chain Gristedes’ CEO John Catsimatidis also is interested in bidding for a license, according to the Post.