Soloviev Group and Mohegan Gaming have unveiled the grand $11 billion Freedom Plaza project, a transformative mixed-use development proposed for a 6.7-acre plot in Manhattan, just a stone’s throw from the United Nations headquarters. Positioned as the most ambitious among eight downstate New York casino proposals, Freedom Plaza aims not only to secure one of the three coveted casino licenses available this year but also to reimagine the urban landscape with its extensive offerings.
This bid stands out for its promise to create 17,000 jobs, a blend of construction and permanent positions, making it the largest employment generator among the competing proposals. The vision encompasses a casino, two hotel towers, two residential towers, a Museum of Democracy, and almost five acres of public parkland, potentially turning a swath of 1st Avenue into a vibrant community hub. Michael Hershman, CEO of Soloviev Group, emphasized the potential impact of developing what he described as “probably the largest piece of undeveloped property in Manhattan.”
The ambitious project was presented during the first public hearing at Scandinavia House, orchestrated by a community advisory committee tasked with evaluating public sentiment. For the project to proceed to the next stage, it requires the approval of four out of six committee members, with the subsequent hearing and decision deadline scheduled for September 15 and 30, respectively.
The hearing attracted approximately 140 speakers, including trade groups, potential vendors, and local residents. While many attendees praised the extensive benefits Freedom Plaza promises, including its amenities and economic impact, a recurring question echoed: Why is a casino necessary?
Soloviev Group’s commitment to revitalization dates back to 2007, when the site was acquired, following its century-long stint as a Con Edison industrial plant. Despite a failed development attempt in 2008, Freedom Plaza aims to rekindle and reimagine those early plans, aligning them with modern expectations and urban needs.
One of the innovative features being proposed is a public equity offering, similar to one recently closed by Bally’s for its Chicago casino. Soloviev Group plans to reserve equity for the community, benefiting New York City residents and pension funds. Hershman highlighted this as a way to ensure local involvement and investment in the project’s success.
For Mohegan Gaming, Freedom Plaza represents a pivotal opportunity for expansion. While their Mohegan Sun casino thrives, recent challenges, such as the loss of their Korean resort and the expiration of their Virgin Las Vegas contract, underscore the strategic importance of establishing a foothold in New York City. Mohegan CEO Ray Pineault assured stakeholders that their focus transcends immediate profits, emphasizing long-term benefits for future generations.
The project’s most lauded aspects are its housing and parkland commitments. The residential component includes over 1,000 units, with 513 designated as affordable—an unprecedented 50% affordability rate in a Manhattan casino proposal. This feature has drawn wide praise, particularly from housing advocates like Jamie Smarr of the NYC Housing Partnership, who stressed the need for immediate housing solutions rather than long-term promises.
Moreover, the inclusion of nearly five acres of parkland addresses a critical deficiency in Community District 6, which lags behind in park space and tree coverage. Nelson Parker, Mohegan’s chief strategy officer, likened the park’s size to that of Bryant Park, reassuring that it would be well-maintained and secure.
Support from trade unions and community groups has been robust, with many leaders deeming the project an ideal utilization of the site. Steven Fraser, an electrician from Local 3, expressed a common sentiment, envisioning a dynamic development replacing what is currently an underutilized parcel of land.
The project’s strategic location near the United Nations offers a unique advantage, potentially attracting international visitors, especially during the annual UN General Assembly. This aspect, proponents argue, could alleviate Manhattan’s congestion by providing a luxurious, nearby accommodation option for world leaders.
However, not everyone is convinced. Concerns over security, especially given the proximity to a high-profile international target like the UN, have been voiced by residents like Stacey Roush, who fear the casino could exacerbate risks. This echoes sentiments from similar debates, such as the one surrounding a proposed casino in Tysons, Virginia, where security officials highlighted potential vulnerabilities.
Despite the promising economic and social benefits, local opposition remains significant. Residents close to the project site have expressed fears that the casino could alter the neighborhood’s character detrimentally. Past public hearings have reported allegations of influence-buying and restricted access for opponents, fueling skepticism about the project’s intentions.
Manhattan’s Community Board 6, which previously voted against land-use provisions for Freedom Plaza, reflects this resistance. Former board chair Kyle Athayde articulated a shared belief that while the project offers appealing amenities, the inclusion of a casino is inappropriate for the neighborhood’s future.
The controversy underscores a broader theme observed in New York’s casino deliberations: while economic development and community enhancements are welcome, many remain wary of the implications a casino may bring. The phrase “just not a casino” captures the sentiment of those who feel the project’s benefits can be realized without the gaming element.
As the debate continues, Freedom Plaza’s fate lies in balancing the allure of economic renewal with the community’s concerns, navigating the complex landscape of urban development in one of the world’s most iconic cities.
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