The construction of Bally’s permanent resort and casino in Chicago has been struck by several unanticipated pitfalls, including debris spilling into the adjacent Chicago River, causing a shutdown before a public offering for women and minority investors failed to close according to schedule.
Let’s take a closer look at its development before betting on the inauguration date at the top-rated sportsbooks.
Bad Luck Bally’s
Bally’s must feel that its new $1.7 billion casino in downtown Chicago is jinxed. What could go wrong has gone wrong, and the delays are costing the company time and money. The former Chicago Tribune printing plant, located on 30 acres at 777 West Chicago Avenue in the River West neighborhood, has been razed to make room for the project.
However, a mishap on December 14th involving construction debris spilling into the Chicago River derailed the project for a month. Specifically, a wall came crashing down, which spilled “non-contaminating perlite” into the river. The company immediately undertook cleaning remediation, and it was accomplished without any contamination to the affected area.
“The safety of our surrounding community and employees remains our top priority,” according to the statement from Bally’s Chicago and Chicago Community Builders Collective. “We regret this incident occurred, and we will work diligently to prevent similar incidents moving forward.”
Stuck in Limbo
A round of financing exclusively for women and minority investors was also inexplicably delayed at the Securities and Exchange Commission. Bally’s Chairman, Soo Kim, said, “We’re going to update our financials and resubmit, but we don’t know why the SEC didn’t respond the first time, and they may not respond the second time.”
Even the financials at Bally’s temporary Medinah Temple have been disappointing. Adjusted gross receipts of just $9.2 million in January revealed a narrow year-over-year decrease. The revenue is well short of projections, adding another layer of lament for Bally’s C-suite suits. “Our Chicago temporary casino’s results were consistent with prior quarters as they remain below our expectations,” CEO Robeson Reeves stated in a press release regarding Bally’s Corp. 2024 earnings.
The permanent facility’s completion date is slated to be September 2026, but that appears to be optimistic based on the project’s recent trials and travails. However, once it is completed, many are questioning the location and the traffic congestion that will result because of it.
Chinatown Shuttle
Bally’s shuttles make several trips per day, whisking bettors in Chinatown to the front door of its temporary casino. The company believes making the casino accessible for residents is doing both a public service and increasing its bottom line.
However, not everyone feels that way, especially some in Chinatown’s community who believe Bally’s is unfairly targeting Asian gamblers based on stereotypes. The company initially began making 13 shuttle trips to and from Chinatown, but that is now up to 30 trips per day, much to the chagrin of some community leaders.
“It becomes a self-fulfilling prophecy,” said C.W. Chan, founder of the Coalition for a Better Chinese American Community. “Every individual you talk to in Chinatown has a friend or family member with a gambling problem.”
However, a Bally’s Chicago spokesperson issued the following statement regarding the transportation being made available to Chinatown residents. “We are in the hospitality business, and we are constantly listening to our customers, evaluating our amenities, and adjusting our offerings based on guest preferences as we move closer to opening our world-class casino and entertainment destination on the banks of the Chicago River.”
