Bally's has suspended construction on much of the non-gaming portion of its permanent Chicago casino development as a dispute with city officials over video gaming terminals threatens to reshape the project's timeline.
According to the Chicago Tribune, Bally's issued a "reset notice" to the Chicago Community Builders Collective, temporarily halting work on planned amenities including the hotel, entertainment venue and several restaurants at the River West development. Around 1,500 union workers are reportedly affected by the pause, although construction of the casino itself is continuing and remains on track for an early 2027 opening.
The disagreement stems from Chicago's decision to legalize video gaming terminals as part of its 2026 budget. Bally's argues the move contradicts the 2022 host agreement signed with the city, under which the company committed to developing the permanent casino resort. The operator believes VGTs should not be introduced elsewhere in Chicago while its casino project is still under development.
The company has also reportedly indicated it intends to withhold an annual $4m payment due to the city in September until the dispute is resolved. The disagreement comes as Chicago expects the completed casino development to generate around $200m in annual local tax revenue to support police and firefighter pension funds.
Despite the construction pause, Bally's has reiterated its long-term commitment to the Chicago project. Earlier this year, the company supported proposed legislation that would extend the operating period of its temporary casino at Medinah Temple beyond its current licence if construction of the permanent venue requires additional time.
The Chicago setback comes as Bally's continues expanding elsewhere in North America. Last week, the company completed its acquisition of Sam's Town Shreveport from Boyd Gaming following regulatory approval in Louisiana. Bally's plans to rebrand the property and integrate it into its regional portfolio while exploring opportunities to enhance its gaming, hospitality and entertainment offering.
The acquisition forms part of Bally's broader expansion strategy, which also includes the proposed takeover of Evoke through its Bally's Intralot business, further strengthening the company's presence across both land-based and digital gaming markets.
The dispute centres on Bally's claim that Chicago's approval of VGTs conflicts with its 2022 host agreement with the city
