Bally’s has paused construction on several parts of its permanent Chicago casino development as tensions continue to rise over the future of video gambling terminals within the city. The decision marks a significant development in one of the largest gaming projects currently under construction in Illinois.
While Bally’s says the casino itself remains on schedule to open in early 2027, the company has confirmed that work is being scaled back on several non-gaming elements of the $1.7 billion project. The move comes amid an ongoing disagreement between the operator and Chicago officials regarding the expansion of video gambling throughout the city.
At the heart of the conflict is Chicago’s decision to allow video gambling terminals in bars, restaurants, and other qualifying establishments. Bally’s argues that the expansion of these machines conflicts with commitments made when the company secured rights to develop the city’s first permanent casino.
According to Bally’s, the widespread availability of video gambling terminals could create new competitive pressures for the casino and alter assumptions that were in place when the company agreed to major financial and development obligations connected to the project. Company officials have said the changing gaming environment introduces uncertainty regarding future revenue projections.
The disagreement relates to a 2022 host community agreement between Bally’s and the city. Bally’s contends that the new policy direction effectively expands gambling opportunities beyond what was originally contemplated when the casino development was approved.
The construction slowdown does not impact the casino floor itself, but several high-profile amenities are affected. Reports indicate that Bally’s is pausing or reducing work on portions of the hotel development, entertainment venue, restaurants, and other non-gaming attractions planned for the River West complex.
The development was designed to be more than a casino. Plans include a large hotel tower, dining options, and event space intended to create a destination capable of attracting both tourists and local visitors.
The company said it informed construction partners that it would be “resetting the pace” of work on certain elements of the project. Bally’s has not publicly provided a timeline for when full construction activity might resume on those portions of the development.
The project has become a major source of union construction work in Chicago, with approximately 1,500 tradespeople connected to the development. Bally’s acknowledged that the construction changes could affect workers involved in building the non-gaming portions of the complex.
The dispute could also have broader financial implications. Reports indicate Bally’s is evaluating additional options as negotiations continue, including the possibility of withholding certain payments tied to its agreement with the city.
At the same time, city leaders have argued that expanded video gambling could generate new tax revenue and provide additional business opportunities for local establishments. That has created a policy debate balancing economic development goals with the expectations associated with Chicago’s casino project.
Despite the latest setback, Bally’s maintains that the permanent Chicago casino remains on track to open in early 2027. The operator says it intends to continue honoring its obligations while seeking a resolution to the dispute.
For now, construction continues on the gaming portion of the development, but questions remain about when work on the surrounding amenities will resume. The outcome of discussions between Bally’s, city leaders, and other stakeholders could play a major role in determining the final scope and timeline of one of Chicago’s most significant entertainment developments.
As the debate over video gambling continues, the project has become a focal point in the broader conversation about how gambling expansion should be managed in one of the nation’s largest cities.
