Bally's alters construction on permanent Chicago casino amid dispute with city over video gambling

Some union workers were told to leave Monday morning

ByStephanie Wade and ABC7 Chicago Digital Team WLS logo
Monday, August 10, 2026
Bally's alters construction on permanent Chicago casino amid dispute with city
On Monday morning, ABC7 crews saw dozens of union workers leave the $1.7 billion construction site.

CHICAGO (WLS) -- Bally's has altered construction on its permanent Chicago casino in the River West neighborhood.

The company claims the City of Chicago broke their agreement to allow video poker and other gambling devices at bars and restaurants in the city.

On Monday morning, ABC7 crews saw dozens of union workers leave the $1.7 billion construction site.

"Bally's is trying to use our workers as leverage against us, the city of Chicago, who are trying to manage budget shortfalls and missed expectations," 15th Ward Alderman Ray Lopez said.

Backers of the video gaming terminals, like Ald. Lopez, argue they provide a much-needed revenue source for Chicago's struggling bars and restaurants.

They're not in any restaurant just yet, but if allowed, the city could lose a $4 million community benefits payment from Bally's, per their agreement.

In June, former Chicago Mayor Lori Lightfoot's law firm joined the legal battle over video gaming in Chicago.

Bally's casino says it hired the firm, RKF Global, to represent them in a possible lawsuit against the city.

Sunday afternoon, a Bally's spokesperson issued the following statement:
"Bally's issued a notification to the Chicago Community Builders Collective (CCBC) that it is resetting the pace of construction of elements of Bally's Chicago permanent casino. The potential for an uncontrolled proliferation of video gambling terminals (VGTs) is in breach of the City's commitment not to expand gaming in the Host Community Agreement (HCA) and creates uncertainty that could be harmful for Bally's Chicago prospects. Note that initial opening of the permanent Casino remains unchanged for early 2027 and Bally's Chicago intends to fully honor its commitments under the Host Community Agreement. We do not take this lightly because of the potential impact on many of the 1,500 union trades people who have been working hard to build Bally's Chicago. We will continue to assess our options, which we hope will include more productive discussions with the Mayor's Office and City Council."

Bally's is operating a temporary casino at the former Medinah Temple Building in River North as its permanent casino in the city's River West neighborhood is being built.

Some construction did continue Monday morning. It appeared that construction on the hotel, specifically, has been halted, but not the casino.

ABC7 reached out to the city and the mayor's office for a comment, but has yet to hear back.

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