The revelation that a video casino proposed for Belmont Park would produce less revenue there than at a different site doesn’t change much for some local backers and opponents.
Opponents of Nassau Regional Off-Track Betting Corp.’s plan for a gambling hall at the Elmont racetrack’s grandstand say a Dec. 9 study showing it would produce $44.4 million less revenue there than in Westbury further proves it isn’t a suitable site.
But OTB and one civic leader who supports the plan say the casino will likely capture more revenue than the study estimates.
“If they do the right job at Belmont, they could far exceed those numbers,” said Patrick Nicolosi, president of Elmont’s East End Civic Association.
The OTB-commissioned study by Las Vegas-based Union Gaming Analytics found the Belmont Park video lottery terminal facility would generate a minimum of $151.3 million in net revenue annually, with at least $26 million going to Nassau County’s coffers.
A 2014 study by the same firm found a VLT parlor proposed for the vacant Fortunoff jewelry store in Westbury would have produced at least $195.7 million, with at least $34.2 million going to the county, Newsday reported.
The study says 55.1 percent of the Belmont casino’s revenue would come from people living within a 15-minute drive of the site, compared with 73.2 percent at Westbury.
People living within 15- to 30-minutes of Belmont would produce 40.8 percent of its revenue, the study says, and 4.2 percent would come from those 30 to 60 minutes away.
Plans for the Westbury site were abandoned last year after sustained protests from community leaders and elected officials.
Plans for Belmont have faced opposition from residents of Floral Park, Elmont and other communities bordering the racetrack since Nassau OTB announced them in December.
Nassau OTB President Joseph Cairo told Newsday he thought the revenue estimate was conservative and said OTB agreed it would use the “best available location.”
“We need to be realistic about how we are going to realize this gaming revenue,” Cario told Newsday, also saying Belmont has an advantage because it already hosts gambling on horse racing and is convenient to the Cross Island Parkway.
The agency’s plan for a $75 million, 100,000-square-foot casino requires approval from the state Legislature. In the meantime, OTB wants to build a temporary parlor with 1,000 VLTs, which needs approvals from the state Office of General Services and the New York Racing Authority.
Opponents say the casino would increase traffic and crime and decrease property values in the area, while supporters argue it would capture much-needed county revenue.
Nassau County Executive Edward Mangano has included $15 million in casino revenue in his adjusted 2016 budget.
The $151.3 million figure was the Union Gaming study’s lowest net gambling revenue estimate. Its high projection was $201.4 million, and a “midpoint” projection estimated $176.4 million.
To Floral Park Mayor Thomas Tweedy, the comparison between the low projections for the Belmont and Westbury sites undermines OTB’s credibility because it has marketed Belmont Park as the best location for the casino.
“We were told this is the best,” Tweedy said. “Clearly this report shows that it’s not, and it’s their report.”
The fact that the majority of the revenue would come from the surrounding area could hurt local commerce, Tweedy said, as residents could start spending their money at the casino instead of patronizing businesses.
OTB said in a statement Wednesday the casino would create $24 million in revenue for taxpayers and local businesses, and residents are giving input for how a community benefits agreement should “invest annual benefits for Elmont and Floral Park specifically.”
Floral Park resident Matthew Sexton, a leader of the local movement against the casino, said officials should find the most profitable location if they aim to bolster county coffers.
“If we’re going run with Nassau County’s argument that we need the money, then they should put this in the right spot where they can get the money, and Belmont Park is not the right spot,” Sexton said.
With the right development around the casino, Nicolosi said, Belmont Park, already known for horse racing, could become a destination for gamblers from Nassau County and elsewhere and provide competition for the Resorts World Casino in Queens that could push both facilities to improve.
Making Belmont such a destination, with nearby restaurants and hotels, could let the casino exceed the revenue projections if it’s managed well, Nicolosi said.
“The fittest will survive, and it’s always going be that business that does better as the economy gets better and, like any other business, get a little worse when the economy gets bad,” he said.
