DraftKings Rejects Interest in Taking Over Sands NY Casino Bid

Discussions between Las Vegas Sands and DraftKings for a Long Island casino project at the Nassau Coliseum have ended without an agreement.

Ziv Chen

Last updated: May 31, 2025 12:28 PM EDT • 2 min read

DraftKings Rejects Interest in Taking Over Sands NY Casino Bid — Pictured: Islanders fans outside of Nassau Coliseum. Photo by Brad Penner via Imagn Images.

Las Vegas Sands (LVS) and DraftKings reportedly discussed a potential partnership for a Long Island casino project at the Nassau Coliseum site in New York. However, those discussions have since ended without an agreement, eliminating DraftKings as a contender to assume Sands' position in the downstate casino competition.

According to various sources, the talks involved the possibility of DraftKings stepping into the lead role for the integrated resort project Sands had previously pursued. These discussions ultimately dissolved and are not expected to resume, ending any potential collaboration between the two companies regarding the Nassau County site.

LVS formally exited the downstate New York casino race in April, citing uncertainties around the future legalization of iGaming in the state. The company had hoped to transfer its lease and casino application for the Nassau Coliseum to a different operator with experience in both land-based and online gaming.

However, no successor has been secured, and the June 27 deadline for submitting applications to the New York State Gaming Commission is fast approaching.

DraftKings lacks experience in operating physical casinos. Its involvement in the retail casino sector is minimal and primarily limited to branding arrangements rather than direct management. Although the company holds a sports betting license in New York and commands a significant market share in the state, its business model remains focused on Internet-based operations.

LVS not done

Reports indicate that DraftKings explored the opportunity by speaking with unnamed potential partners, which may have included land-based casino operators, to assess the project's viability. However, these discussions have ceased, and no indication has been given that they will be renewed.

Meanwhile, LVS recently released findings from a final environmental impact study (FEIS) for the Long Island site, revealing that the total development cost could reach $7.6 billion - nearly double the $4 billion initially estimated. This increase has likely contributed to the challenge of finding a new developer to assume the project.

Despite withdrawing from the bidding process, Sands continues pushing for zoning changes at the property. These are essential for advancing any large-scale redevelopment at the Nassau Hub, regardless of whether it includes a gaming component.

This shift could open the door to alternative uses for the property, including non-gaming commercial or entertainment developments.

With Sands' withdrawal and earlier exits from Saks Fifth Avenue and Wynn Resorts, the pool of competitors for the three downstate casino licenses appears to be narrowing. Initially, 11 bids were expected, but the number could fall to as few as seven.

Another potential casualty is Bally's, which faces legal and procedural hurdles related to parkland alienation. If those issues are not resolved soon, Bally's may also be unable to meet the June 27 deadline.

Written By:
Ziv Chen

Ziv has over two decades of experience in the igaming and sports betting industry, having served in senior marketing and business development positions with both B2C and B2B companies, including Playtech and Microgaming. In 2019, Ziv decided to pursue his passion for writing and became a fulltime industry journalist, covering casino, sports, and gambling business news. He’s specialties include casino games and technology, US state gambling regulation, company performance, as well as gambling affiliates and marketing. As a Pitt graduate, Ziv is a diehard fan of all Pittsburgh sports teams, with the Steelers at the top of the list. In his free time, he enjoys reading crime fiction, biographies (mainly of sports personalities, but not only) and American history. Ziv’s Favorite quote: “We're going to pursue perfection, knowing full well we won't catch it, but we're going to relentlessly chase it," Mike Tomlin, Pittsburgh Steelers Head Coach.