HARRISBURG | Redeveloping Bethlehem Steel Corp. relics into a playground of slots, shops, a hotel and spa would create an attraction with an "emotional connection" other casinos could not match.
In sharing this assessment Wednesday with state casino regulators, Las Vegas Sands Corp. President William P. Weidner laid bare why he sees the South Bethlehem proposal as a winner.
"We're not social workers, and we do not build buildings for urban redevelopment agencies. We want to make money," said Weidner, also the chief operating officer of the world's biggest casino company -- worth $33.9 billion as of Wednesday.
Money for the Sands means money for Pennsylvania, with its 53 percent tax on casino revenue, Weidner and his partners in Sands BethWorks Gaming LLC told the Pennsylvania Gaming Control Board. In addition to the tax is a municipal host fee of at least $10 million in the Sands' case.
"We believe that this is the biggest revenue opportunity that there is in the state of Pennsylvania," Weidner said.
He later called Interstate 78, the main feeder to the proposed casino site, "a straw into the most lucrative markets" of northern New Jersey.
The Sands and Allentown casino applicant Tropicana Pennsylvania LLC are vying with three other applicants for two available licenses. The board plans to award the licenses Dec. 20 following other applicants' hearings, including the Tropicana's session set for Dec. 13.
The Bethlehem proposal price tag has grown to $610 million from previously released estimates of $400 million. That includes a $50 million license fee and phase-one development of a 300-room hotel, with restaurants, convention space and retailers, said Frederick H. Kraus, vice president and general counsel for Sands brand The Venetian.
Plans also include a movie theater.
The BethWorks Now developers partnering with the Sands have agreed to donate some of their 124-acre former Steel land known as the Bethlehem Works. The recipients of that land, PBS-TV 39, ArtsQuest and the National Museum of Industrial History, plan cultural attractions. The city is considering building a visitors center with its portion.
Phase two of the casino-anchored development is the residential and retail complex envisioned by BethWorks Now principals Michael Perrucci and Barry Gosin. It would stretch to the Fahy Bridge from the Steel's old Machine Shop No. 2 on the western edge of phase one. The casino is proposed on the east side of the Minsi Trail Bridge.
Proceeding to phase two depends on the success of the initial investment, Weidner said.
"But I can't honestly tell you that we can guarantee that the rest of the site gets developed," Weidner told the board. "Things could happen. All I can tell you is we'll develop a wonderful $600 million catalyst."
Gosin offered more reassuring words, saying he took over leasing for the mall component and in three weeks filled 90,000 square feet of space contingent on the casino license.
Without the license, Gosin noted, he still owns the land and hopes to make the Steel's redevelopment the legacy of a career that has helped give new life to nearly 50 New York City buildings.
Perrucci and Gosin said they have already begun working to create homes in the 12-story former Steel General Office building on Third Street.
"Whether The Venetian is interested or not, we plan to move forward on the SGO building and build that building and convert it to apartments," Gosin said.
Reporter Kurt Bresswein can be reached at 610-867-5000 or by e-mail at kbresswein@express-times.com.