(Bloomberg) — The Chicago City Council gave its final approval to build the city’s first casino, a project that’s been three decades in the making and will help Mayor Lori Lightfoot plug ballooning pension debt.
(Bloomberg) — The Chicago City Council gave its final approval to build the city’s first casino, a project that’s been three decades in the making and will help Mayor Lori Lightfoot plug ballooning pension debt.
On Wednesday, aldermen approved the $1.7 billion entertainment complex proposed by Bally’s Corp. in a 39 to 5 vote, a win for Lightfoot, who is seeking re-election in February. The initial phase of the project will include a casino, hotel, restaurants and open spaces, with residential and retail to possibly come later. This was the council’s final sign-off following zoning amendments, but the plan still needs approval from the Illinois Gaming Board.
The development on the site of the old Tribune Publishing Center will create thousands of jobs and generate about $200 million in revenue every year for the fire and police pension plans, according to the city’s projections. The casino, part of a broader expansion of gambling in Illinois, has been the subject of debate by previous mayors and politicians for the past 30 years.
Lightfoot has been focused on tackling Chicago’s beleaguered finances, with the city paying all dues into its four severely underfunded pensions for the first time in 2022. That helped the city shed its one junk rating last month for the first time since 2015, a move that will help cut borrowing costs.
The city’s unfunded pension liability has increased to $33.7 billion, twice the size of its annual budget. Some revenue from the casino is expected to start flowing soon, with a temporary site set to open next year. The permanent casino is scheduled to open in 2026.
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