Bally’s Chicago Casino Project Adjusts Non-Gaming Construction Amid City Dispute Over Video Gambling Terminals
Written by Taylor Griffin · Aug 11, 2026
Bally’s Chicago Casino Project Adjusts Non-Gaming Construction Amid City Dispute Over Video Gambling Terminals
Bally’s Chicago has reduced the pace of work on several non-casino elements of its $1.7 billion River West development, including the hotel tower, event spaces, and dining venues, while the core casino facility continues toward an early 2027 opening date, and observers note that roughly 1,500 union construction positions now operate under a slower schedule because of the unresolved disagreement with city officials regarding expansion of video gambling terminals throughout Chicago.
Background on the River West Development
The permanent casino complex stems from a 2022 Host Community Agreement that Bally’s reached with Chicago leaders, and that document outlined commitments for both the gaming floor and supporting amenities while also addressing how additional video gambling terminals would be handled across the broader city, yet recent months have seen the company cite potential breach concerns as the reason for scaling back activity on non-gaming portions.
Details of the Current Dispute
City records show that multiple applications for new or expanded video gambling locations remain under review, and Bally’s maintains that unresolved movement on those applications affects the financial projections tied to the Host Community Agreement, which in turn prompted the decision to slow work on the hotel, event facilities, and restaurants while keeping casino construction on its original timeline, and data through July indicate steady progress on the gaming areas despite the broader slowdown.
Union representatives have confirmed that the adjusted schedule directly impacts approximately 1,500 workers who had been assigned to the affected sections, and project managers continue to coordinate with suppliers so that materials for the casino itself arrive on schedule even as crews on other parts of the site shift to reduced shifts.
Status of Key Project Components
The casino floor itself stays on track for early 2027 because crews there maintain full staffing levels and equipment deliveries, whereas the hotel, ballrooms, and multiple dining outlets now follow a revised construction sequence that extends timelines but does not halt activity entirely, and company statements emphasize that the core gaming operation remains the priority to meet the agreed opening window.
Pending VGT applications continue to sit with city regulators, and net income and tax revenue projections linked to those terminals remain part of ongoing discussions between Bally’s and municipal staff, while both sides have exchanged correspondence referencing the original 2022 agreement language that addressed how such expansions would integrate with the River West project economics.
Employment and Economic Considerations
Local labor organizations report that the reduced pace preserves jobs on the casino portion yet creates uncertainty for workers assigned to the delayed amenities, and project updates indicate that contractors are exploring options to reassign some personnel to other active zones within the overall development footprint, which helps limit immediate layoffs even as total hours per week decline for the affected group of 1,500 union members.
City planning documents list the full complex as a major contributor to future property tax and tourism revenue once completed, and the current adjustment to non-gaming construction does not alter the 2027 casino target that Bally’s and Chicago officials both continue to reference in public updates.
Next Steps and Ongoing Negotiations
Representatives from Bally’s and the City of Chicago have scheduled additional meetings to address the video gambling terminal applications and the related provisions of the Host Community Agreement, and both parties have stated that they seek resolution without further impact on the overall project timeline, while construction activity on the casino continues uninterrupted.
Records from the Illinois Gaming Board show that the permanent facility still holds its approved license path, and the company has reiterated its commitment to delivering the full entertainment complex once the VGT matter reaches settlement, which would allow crews to resume the previous pace on the hotel and other venues.
Conclusion
The situation at the River West site illustrates how regulatory discussions over video gambling terminals can influence construction sequencing even when the primary casino remains protected, and updates through the summer months continue to show the 2027 opening as the fixed milestone while non-gaming elements adjust around the ongoing talks, and stakeholders on both sides maintain active dialogue to align the project with the original 2022 framework.