NY Lottery Disqualifies 2 of 3 bidders (UPDATE: Deal finalized)

[philcski]

Originally Posted by Kasept

On the flip side, who's to say Genting doesn't get the OK? May not be a guarantee, but at least they played by the rules as laid out by the state and met every requirement asked to this point of the process.

Based on those laundry lists of what amounts to demands by SL Green and Penn, they can both drop dead. The Malaysians seem to understand the process, likely have the necessary money, and appear willing to comply with how Lottery wants it to go. That's a big plus.

True- but in the case of PNG, it seems they wrote in riders to protect themselves in case there are sweeping changes in NYS gaming law causing massive competition (unlikely, of course). I get that- they just took a $125MM writedown on their flagship property in Cincy because of Ohio passing additional gaming (obviously since they own rights to an Ohio location they will recoup that amount) and want to protect their $300MM capital investment, which given they are a public company that has to answer to shareholders makes a lot of sense.

Yes- the Malaysians have the money and appear to comply, but it's concerning that yet another big money project goes offshore. Maybe it's because it's July 4th and I'm feeling patriotic but what will end up being a top 5 grossing casino possibly in the world should be American-owned, in my opinion. Maybe the project isn't as attractive financially for an operator as it appears on the surface which would explain the lack of qualified bids (on the 4th or 5th round.)

[Kasept]

Lack of bidder interest may have more to do with being in business with the state. I'd guess Malaysians are far more familiar and comfortable with being in bed with a government.

[freddymo]

Originally Posted by philcski

True- but in the case of PNG, it seems they wrote in riders to protect themselves in case there are sweeping changes in NYS gaming law causing massive competition (unlikely, of course). I get that- they just took a $125MM writedown on their flagship property in Cincy because of Ohio passing additional gaming (obviously since they own rights to an Ohio location they will recoup that amount) and want to protect their $300MM capital investment, which given they are a public company that has to answer to shareholders makes a lot of sense.

Yes- the Malaysians have the money and appear to comply, but it's concerning that yet another big money project goes offshore. Maybe it's because it's July 4th and I'm feeling patriotic but what will end up being a top 5 grossing casino possibly in the world should be American-owned, in my opinion. Maybe the project isn't as attractive financially for an operator as it appears on the surface which would explain the lack of qualified bids (on the 4th or 5th round.)

Not to worry this has zero chance of going forward..

[richard]

I don't see what difference it makes that foreign owned Genting is the last bidder standing. The state can use the $300,000,000 Genting has guaranteed on the state's terms. Genting has met all the requirements as defined by the refp. The project, as defined by the rfp, is located in the USA . The jobs are USA jobs, etc. It looks like a "go" for Genting to me .