Chicago city planners have approved Bally’s revised site plan for a casino in the River West neighborhood. City officials had required Bally’s to change the initial project design due to the risk of damaging city water pipes.
However, Bally’s and the city still haven’t agreed on where to locate a 400-room hotel tower in the second phase of construction. A 100-room hotel will be built above the casino in the first phase, beginning this summer.
City Zoning Administrator Patrick Murphey said the 400-room hotel was scrapped after planners feared massive support caissons would damage critical water pipes. Bally’s officials said “unforeseen infrastructure issues” led to the rejection of the plan. In a letter to Bally’s attorneys, Murphey said the revised plan “will not change the character of the development.”
Several Chicago city departments reviewed Bally’s revised proposal. A Bally’s spokesman said, “Today’s approval on relocating the 100-room hotel above the casino adheres to all city requirements, maintains the same floor area ratio we committed to when Chicago selected Bally’s as its partner and keeps us on track to start construction on time of our world-class entertainment complex in River West this summer.”
Bally’s is contractually obligated to build the 400-room hotel, according to its host city agreement with Chicago. However, it may take several months for Bally’s and the city to agree on the new location for the hotel tower.
Bally’s temporary casino is currently located at the Medinah Temple. The permanent casino will be constructed at the Chicago Tribune printing facility. Bally’s posted $9.3 million in profit in January, ranking third of the state’s 16 casinos, according to the Illinois Gaming Board. The casino reported 88,000 visitors in January, second to Rivers Casino in Des Plaines.
The city received $913,000 in tax revenue to go toward police and fire pensions. To date it has not met the revenue projections of former Mayer Lori Lightfoot and Mayor Brandon Johnson, whose first budget included $35 million in casino tax revenue.
The River North Residents Association said Bally’s site revisions “warrant at a minimum an open and fully transparent review with opportunity for community input.” The group has expressed concerns about public safety and traffic in connection with the casino.
