Chicago Casino Project ‘Not Paused’ for Bally's

Bally’s has reiterated that its plans to build its new casino in Chicago is still on track following an investor call this week.

Bally’s chairman Soo Kim said that construction of the Chicago casino-resort “continues every day”.

Rather than saying the project had been stopped, he said there was an “aligning” under the HCA (Host Community Act) and that Bally’s was committed to a 2027 launch.

There has been a “rephasing” of the Bally’s Chicago project in reaction to Illinois’s decision to legalize Video Gaming Terminals (VGTs). However, it’s evident there is tension between Bally’s and the authorities that shows no signs of going away.

VGT Rules Change Relationship

It had been widely reported that Bally’s had paused building of non-gaming parts of its new Chicago casino resort.

However, since signing a deal to build the new casino, Chicago legalized Video Gaming Terminals (VGT).

Until this year, Chicago has had a blanket ban on VGTs. That ended this year, with the Illinois Gaming Board approving its first VGT licenses in the city in June.

That sparked a dispute between the city and Bally’s Chicago, which cried foul over the change in rules. Though VGTs are housed in smaller venues, such as bars, casino chains still regard them as a threat to their operations.

Bally’s had threatened to pause construction over the VGT dispute. However, the casino giant has confirmed building work is still on track. There is no indication that Bally’s is considering any legal action in Illinois.

Despite the dispute, Bally’s Chicago paid $4 million to the city as an annual community impact fee.

Bally’s Chicago: At a Glance

• Permission Granted: 2022
• Due to Open: 2027
• Cost of Build: $1.7 billion
• Number of Games: 3,400+ slots, 200+ table games, poker
• Other attractions: 500+ room hotel, restaurants, entertainment

Bally’s Secures $560M for Bronx Casino Project

In a separate development, Bally’s revealed this week it had secured $400 million in financing for its New York project.

Led by WhiteHawk Capital Partners, the loan will go toward further development of the Bally’s Bronx project.

Additionally, there are delayed loan commitments worth $160 million, taking the total loan to $560 million.

The “important financing” will allow Bally’s to “remain on schedule”, Kim said in a statement.

Gambling in New York has expanded massively over the past few years.

Bally’s secured approval for a New York casino last year before buying a site in Ferry Point Park in March for the construction. New York State legalized brick-and-mortar casinos in 2022. Two are being built or expanded in Queens (Hard Rock Metropolitan Park and Resorts World), with Bally’s receiving the sole Bronx license.

Do UK Projects Show Overextension by Bally's?

There’s no doubt that Soo Kim is keen on doubling down on his gambling investments. The Chicago casino project is ambitious, as is the simultaneous development in New York.

The Bally’s Corporation is also seeking expansions in Europe. Through Bally’s Intralot, it is attempting to acquire Evoke PLC, the umbrella company behind brands such as 888.

Finally, Bally’s is going for the trifecta with a new resort in Las Vegas. The operator plans to build a new resort on the site of the former Tropicana.

The space was cleared two years ago to make way for a new baseball stadium for the A’s, plus a casino park. The aim is for at least the stadium to open, even if the casino doesn’t. It could be a straight race to see which resort gets delayed the most – Chicago or Las Vegas.