A lucrative opportunity tied to New York City’s casino licensing process may yield a significant financial boost for U.S. President Donald Trump. If Bally’s Corporation is granted permission to develop a casino at Ferry Point, where the company now operates a golf course formerly managed by Trump, the deal includes a substantial payout clause that could net the Trump Organization $115 million.

Bally’s, a regional gaming operator, finalized a $60 million transaction in 2023 to assume control of the Bronx-based Ferry Point golf course. The site, previously branded as “Trump Links,” was rebranded as Bally’s Golf Links at Ferry Point shortly after the acquisition. However, a crucial stipulation in the agreement ensures that if Bally’s secures a casino license for the location, it must remit an additional $115 million to the Trump Organization, according to Associated Press.

This contractual detail came to light through a letter disclosed during legal proceedings involving Trump. The document, written by Donald Trump Jr. and addressed to former Bally’s President George Papanier, explicitly describes the payment as a “gaming event fee.” The agreement mandates that Bally’s must complete the payment within ten days of receiving the license or face an annual interest penalty of 10% for any delayed payment.

Fierce Competition for New York City Casino Licenses

The competition to obtain one of three available downstate casino licenses is intense, with at least 11 contenders vying for the coveted approvals. Prominent proposals include a Caesars Palace project in Times Square, a casino atop the Saks Fifth Avenue store, and a plan by New York Mets owner Steve Cohen to develop a gaming venue adjacent to Citi Field in Queens. Other bids propose locations such as Coney Island, Long Island, and various Manhattan high-rises.

Meanwhile, existing gaming operations at MGM Resorts’ Empire City in Yonkers and Genting’s Resorts World at the Aqueduct Racetrack in Queens are seeking upgrades to transform their current “racino” setups into full-scale casinos. Unlike Bally’s bid, which hinges on land-use changes, these sites already host gaming activities, making their applications less complex.

Political and Regulatory Hurdles

While Bally’s casino bid in the Bronx has support from some local politicians, including Sen. Nathalia Fernandez and Assemblyman Mike Benedetto, who have introduced legislation to modify the site’s parkland designation, challenges remain. For Bally’s project to proceed, state lawmakers must approve the change, as current zoning laws prohibit casino development on public parkland.

Further complicating the matter is Trump’s involvement. Many New York officials, including Governor Kathy Hochul and New York City Mayor Eric Adams, have had adversarial political relationships with Trump. His financial stake in Bally’s proposal could become a point of contention, potentially influencing the licensing decision.

Timeline and Approval Process

Casino applications must be submitted by late June and will first undergo evaluation by community advisory committees composed of representatives from various levels of government. These panels will assess public sentiment before forwarding recommendations to the state’s gaming board, which expects to make its final decisions by the end of the year.

If Bally’s successfully navigates the application process, it will have to act swiftly to fulfill its financial obligation to the Trump Organization, reinforcing the high-stakes nature of the competition for New York’s latest casino developments.