The Department of Interior’s rejection last week of a controversial proposal for a casino in the Catskill Mountains was a setback for the Stockbridge-Munsee Band of Mohicans, a Wisconsin Indian tribe hoping to be the developer. But it was good news for Empire Resorts, a racetrack owner in the area that has been planning a major expansion, the Wall Street Journal reported. Empire, which owns and operates the Monticello Casino & Raceway about 90 miles from New York, is asking state legislators for help in financing a $400 million upgrade of its existing harness-racing facility. [more]

Queens’ Aqueduct Racetrack may not survive to see the completion of the new 500,000-square-foot gaming parlor next door as its owner scrambles for cash in the wake of Off Track Betting’s bankruptcy, according to the Wall Street Journal. The New York Racing Association, which owns the 116-year-old track, is expected to lose $33 million in revenue next year as a result of this month’s closure of 54 city OTB parlors — its biggest source of revenue. Meanwhile, Malaysian gaming company Genting is proceeding with its first
U.S. project, scheduled to open in 2011, with or without the South Ozone Park racetrack,
a spokesperson said. It would be the only racino in the state to
operate without an adjoining racetrack if Aqueduct were to close. [more]

Bidders on the Aqueduct racetrack in Ozone Park, Queens, will have to prove their ability to pay the state $200 million within 30 days of winning the redevelopment rights to the project, Governor Paterson wrote in a letter to the companies on Friday. The request is likely to pare down the list of six bidders, which includes SL Green, MGM Mirage and Penn National Gaming, because most would need to revise their original project plans in order to comply with the request. SL Green has offered $275 million for the Aqueduct, but only $125 million would be paid upfront. Providing more money from the get-go would allow the governor to follow through on his plans to reduce the budget deficit by $5 billion, while ensuring that the winning bidder does not back out. Last year, Delaware North won the rights to the Aqueduct project but could not come up with enough cash. The group is again vying for the winning bid. Bidders have until Nov. 6 to reply to Paterson’s letter. Paterson, along with Assembly Speaker Sheldon Silver and temporary Senate President Malcolm Smith, will ultimately select the winner. [Crain’s]

CB Richard Ellis has negotiated the $8 million sale of three vintage fire houses in Greenwich Village, Midtown and Cobble Hill. Meanwhile, a report has surfaced showing that just one third of residents in New York City affordable housing are employed and, in the race to win the contract for the Aqueduct race track project, a group of more than 25 minority and women-owned business organizations have thrown their support behind the SL Green/Hard Rock development team. Click here for more. TRD [more]

With just days to go before the announcement of the Aqueduct project winner is expected on Sept. 29, speculation over which of the six bidders will win has reached a fever pitch. One of the highest profile candidates, Las Vegas tycoon Steve Wynn, has lobbied hard for the Ozone Park racetrack and gambling spot, with a two-acre pond and 4,500 video lottery terminals included in his plans. Crain’s profiled the rags-to-riches businessman today and took a closer look at the other candidates — and their odds.

Governor David Paterson’s office may choose a developer for Queens’
Aqueduct Racetrack as soon as Monday, sources close to the situation
told Crain’s. Paterson’s office is currently completing its internal
review of the six bids for the site. The project’s bidders include SL
Green Realty, Aqueduct Entertainment Group, Steve Wynn and a
partnership of MGM Mirage and developer R. Donahue Peebles. Paterson
reportedly favors Wynn’s plan, while Assembly Speaker Sheldon Silver
has supported a plan from Buffalo-based Delaware North Companies. Comments

Four of the six companies bidding to develop Queens’ Aqueduct Racetrack
have increased their offers to the state. The final deadline for
submitting proposals to Governor David Paterson was last week. SL Green
Realty upped its offer to $275 million from $250 million. Aqueduct
Entertainment Group promised the state an additional $100 million — the
company’s original bid was $151 million — if the state will add more
video lottery terminals at the casino. Steve Wynn doubled his proposal
to $300 million. The partnership of MGM Mirage and developer R. Donahue
Peebles increased its bid but would not say by how much. [more]