Suffolk OTB is breaking ground on a $210 million expansion of Jake’s 58 Casino Hotel, ahead of competitors vying for the coveted New York City casino license.
Suffolk OTB CEO Phil Boyle told the paper: “We are not competing for one license or the other. The fact is that no matter where these casinos are located, we are I think we can compete well.”
The expansion, the first since the casino opened in 2017, is expected to increase annual revenue by up to 42%, double the terminal to 2,000 spaces and increase parking from 600 to nearly 2,000 spaces.
“We’re basically doubling the size of our current casinos,” Boyle explained, adding that these casinos are one of only two government-owned casinos in the United States.
“And most of our profits will go to the New York State Department of Education and our host county, Suffolk County on Long Island.”
Last month, state regulators announced they would not decide on new casino licenses in the New York City area until 2025, and gaming facilities in the metropolitan area are not expected to open until 2026 at the earliest.
“So we hope to be able to cut the ribbon on the newly expanded Jake 58 before other casinos start construction and we have a very loyal following,” Boyle said.
Bidders for the New York City license include Las Vegas Sands Corp., Wynn Resorts Inc. and investor Steve Cohen, who is affiliated with Hard Rock International.
Under New York’s casino law, licensees must pay a one-time $500 million fee to the state, and bidders are expected to compete based on how much they pay in taxes.
