Bally’s has reiterated that the project remains on track to open in early 2027
Bally’s has rephased elements of its Chicago casino development amid uncertainty over newly legalised video gaming terminals (VGTs) in the Illinois city, while the company has secured additional funding for a separate land-based project in the Bronx, New York.
Bally’s had been progressing construction of its permanent Chicago casino and resort, under plans approved by the city in May 2022. The project was scheduled to meet its development commitments and timelines under a host community agreement (HCA) with the city.
However, Bally’s changed the sequencing of some non-gaming elements of the development in August, following Chicago’s legalisation of VGTs. Bally’s had already notified the city that it considered the change a violation of the terms and economic assumptions underpinning the HCA.
Updating investors on its plans, Bally’s said the decision to rephase the development reflects the uncertainty created by VGT legalisation. It said this is intended to protect the value of its investment while ensuring it meets contractual obligations to Chicago.
Speaking on the investor call, Soo Kim, executive chairman of the board at Bally’s, was keen to emphasise that construction is continuing on the development. He added that the project remains on track to open in early 2027.
“There have been inaccurate reports suggesting that construction has stopped or paused,” Kim said. “It has not. Construction continues every day, and there are approximately 1,000 skilled trade people working on the construction of the permanent Bally’s Chicago resort.
“This reset is not a pause or a stoppage. We are aligning the sequencing of our investments and development with requirements and timelines established under the HCA. We’re committed to opening in early 2027.”
Bally’s secures $560m to advance Bronx project
Meanwhile, Bally’s has confirmed an additional $560m in financing to support its land-based casino development project in the Bronx.
Bally’s secured approval for a downstate licence in December last year, while the company in March this year acquired a nearly 20-acre site at Ferry Point Park for its casino resort. Under the new land acquisition, Bally’s must begin construction on the project within 18 months.
To help progress its plans, Bally’s secured new financing led by WhiteHawk Capital Partners. This will comprise closing date term loan commitments in an aggregate principal amount of $400m, in addition to delayed draw term loan commitments in an aggregate principal amount of $160m.
The financing, which will be used to fund certain pre-construction costs and expenditures associated with the project, is expected to close in Q3 2026, subject to regulatory approval and closing conditions.
“This important financing allows us to progress the pre-construction planning process so that we are ready to complete the remainder of the capital raise and remain on schedule,” Kim said. “Furthermore, the additional liquidity provides us greater flexibility for other capital opportunities.”
The planned casino complex features 3,500 slot machines, 210 table games and 40 poker tables, as well as 500 hotel rooms, a 2,000-seat event centre, nightclub, spa, food and beverage venues and retail shops.