Cage Urban Abandons New Bedford Casino Project – https://www.pachinkosite.info

New York developer KG Urban Enterprises said in a letter to the Massachusetts Games Commission on Wednesday it would suspend a $650 million bid to build a casino resort in New Bedford. This cited a lack of sufficient finance to complete the project as the main reason for the decision.

Because of the uncertainty surrounding the acquisition of viable funds to materialize the plan and the limited time given, KG Urban officials cannot guarantee that additional funds will be found other than those already used, Gosin, a managing partner at the company, wrote in a letter.

Clearly, the letter ends New Bedford’s bid for the sole casino license in southeastern Massachusetts or region C, as officially stated. Therefore, Mass Gaming & Entertainment and its plan to establish a full-fledged gambling house in Brockton remain the only bidders.

State gambling regulators will officially respond to KG Urban’s letter at a special meeting in Boston on Thursday.

In response to the New York developer’s withdrawal of the bid, New Bedford Mayor John Mitchell said he was disappointed with the turnaround, especially given the fact that Mr. Gosin led everyone to believe his company would provide the funds needed to build the property.

If it had started, the New Bedford Casino would have created many jobs for the local population and donated $12.5 million to the city’s finances every year. It would have been located on the coast of the city on the site of the old NSTAR power plant.

KG Urban has been trying to open a gambling house in New Bedford for over seven years. It was this spring that the developer signed a host community agreement with city officials. Accordingly, the company was supposed to contribute $4.5 million in advance in addition to an annual payment of $12.5 million.

In May, Mr. Gosin wrote to the Massachusetts gaming regulator, noting that Gaming & Leisure Properties Inc., a Pennsylvania-based real estate investment trust, has signed a deal as a major sponsor of the casino scheme.

According to George Leontire, one of the project’s strongest supporters, the financial decision came from KG Urban, not from Pennsylvania-based trusts.

In addition to the financial difficulties associated with the establishment of gaming properties, Mr. Gosin cited competition with nearby tribal casinos that could eventually be launched as a reason for his decision to abandon the New Bedford project.

On Wednesday, Cedric Cromwell, chairman of the Massachusetts Tribal Commission, Mashpi Wampanoag, said in a statement to local media that plans to build casinos in southeastern Massachusetts, including the “New Bedford people,” would definitely benefit.