Bally's Blames VGTs for Chicago Construction Pause
Bally's told Chicago aldermen in a letter this week that competition from newly legalized video gambling terminals (VGTs), not its own financial troubles, is behind the company's decision to pause non-gaming construction on its $1.7 billion River West casino project.
The letter, sent by Bally's executive Chris Jewett on August 26, 2026, responds to 28 City Council members who had demanded the company restart full construction.
The letter included a graphic comparing statewide casino revenue from 2012, when Illinois' first video gambling terminals went live, through 2025, showing that adjusted gross revenue across 10 Illinois casinos fell by 23%.
When Rivers Casino in Des Plaines, which has not yet faced VGT competition, was excluded from the comparison, the drop across the remaining nine casinos widened to 37.5%. Bally's argues the numbers show VGT expansion, not mismanagement, is the real threat to its Chicago project.
The City Pushes Back
Chicago officials maintain that while VGTs have been authorized within city limits, they are not yet operating at a meaningful scale anywhere in the city, undercutting Bally's argument that the terminals are already hurting its business.
The city has also argued, according to WTTW's reporting on the dispute, that Bally's Host Community Agreement provides specific remedies for a grievance like this one, and that halting construction is not one of them.
Despite the construction slowdown and a recent going concern warning in an SEC filing, Bally's says it remains on track to complete the full casino resort by early 2027.
The dispute is scheduled to continue on September 9, 2026, when Bally's is due to discuss the issue with aldermen at a public hearing before the City Council's Committee on License and Consumer Protection.
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