Georgia Gaming Market Assessment - Pennsylvania Treasury

Source: Delaware Gaming Control Board; The Innovation Group
New York
The New York market consists of 8 Indian casinos, 8 racinos, and 3 horse tracks. The racino
industry has grown from a $192 million in 2004 to over $1 billion in 2010. During that time, the
number of machines has more than tripled and win per machine has increased more than $100 to
$240 per unit. This market has grown substantially over the past six years, thanks in large part to
Yonkers Raceway, which has made up more than half of the state’s revenue since 2008. The
first four months of 2011 has seen the state has had an increase in revenue of nearly 9% over
2010, while only having an increase in number of machines of .5%. The table below shows New
York’s statewide gaming performance since 2004.
New York State Gaming Performance
Year Revenues % Change Units % Change Win/Unit % Change
2004 $192,447,498
The Innovation Group Project #054-11 August 2011 Page 60
4,092
$128.85
2005 $294,994,056 53.3% 5,408 32.2% $149.45 16.0%
2006 $426,305,441 44.5% 6,650 23.0% $175.64 17.5%
2007 $828,205,000 94.3% 12,653 90.3% $179.33 2.1%
2008 $947,275,377 14.4% 12,961 2.4% $200.23 11.7%
2009 $1,019,279,108 7.6% 12,785 -1.4% $218.43 9.1%
2010 $1,089,049,283 6.8% 12,462 -2.5% $239.43 9.6%
Jan-Apr 2011 $386,554,519 8.8% 12,519 0.5% $257.55 8.3%
Source: New York Lottery
The Innovation Group focused on Yonkers, Aqueduct, Tioga Downs and Seneca Allegany due to
their proximity to Pennsylvania and their potential to draw Pennsylvania residents.
Yonkers
Empire City at Yonkers Raceway is home to the only current VLT facility in the New York
metro area market, lying within 30 minutes of downtown Manhattan. Yonkers offers live
harness racing throughout the year, with abbreviated schedules during the winter months, and
racing six days a week during the summer months. In addition to its gaming facilities, Empire
City Casino offers 3 restaurants, 2 bars, and an entertainment lounge with live music, comedy,
and karaoke. The facility also offers a bus program to transport customers from Brooklyn, Long
Island & Queens, Manhattan, and Northern New Jersey. The VLT facility currently offers 5,300
gaming devices, averaging approximately $300 in win per device during 2010 driving revenues
of $582 million. Since opening in October 2006, Yonkers has seen annual increase in revenue
each year. It has also more than doubled its slot offering since inception. In the first four
months of 2011, Yonkers has increased revenue by 10% over 2010 without making any change
to the number of machines offered. The table below shows Yonkers gaming performance since
2006.