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It’s not been a good week for those gambling on casinos as the answer to what ails New York’s economy. Over in Atlantic City, three casinos just bit the dust.
The first to go was the Showboat, a local fixture for 27 years. Then came the newer Revel Casino. Hours after it closed, state regulators gave the go-ahead for Trump Plaza to close sometime later this month.
Clearly, New Jersey’s gambling mecca is imploding, a victim not only of a sluggish economy but a glut of casino expansion in neighboring Pennsylvania, Maryland and Delaware. So in face of this diminishing demand, why is New York so determined to go ahead with building even more casinos?
The billion-dollar Revel is particularly worth noting. Only two years ago, its opening was hailed as a “game changer” and “a win for the city.”
Though it took a hit early on when one big financial backer pulled out, the project was rescued with the promise of $261 million in tax relief that was supposed to give the state a 20 percent cut of its profits.
It didn’t work out as advertised. From the day it opened, Revel’s revenues ranked at the bottom of Atlantic City’s 12 casinos. Nine months after opening, it filed for bankruptcy for the first time.
It went under again last June, with a company lawyer calling the resort “a melting ice cube.”
Something for the New York Gaming Facility Location Board to think about next week, when it begins hearing from developers claiming that giving them a casino license will revive struggling Upstate communities.



