Demolition has begun at that Chicago Tribune Freedom Center, which will be the site of a new Bally's casino. (Image: Paul Carstairs / Alamy)

The permanent Bally’s Chicago facility moved one step closer to reality on Tuesday, as demolition began at the site of the facility in River West.

Excavators began tearing down the former Chicago Tribune press building on Tuesday, where Bally’s says they expect to have a permanent casino up and running by the fall of 2026. 

Demolition Paving Way for $1.7 Billion Facility

The Chicago Tribune Freedom Center complex will give way to a $1.7 billion casino and hotel complex at Halsted Street and Chicago Avenue. The facility is expected to include six restaurants, a 500-room hotel tower, and a 3,000-seat theater venue. 

“We’re really excited to put something here that befits Chicago as a whole,” Bally’s chairman Soo Kim said, according to CBS News. “Obviously River West matches River North and Fulton Market. I think what we have planned for you is just fantastic, and it’s going to make everyone proud.”

The demolition wasn’t as dramatic as the word suggests. On Tuesday, excavators simply took a few shots at the building while a loudspeaker played “We Will Rock You.” The construction project is expected to create 3,000 temporary construction jobs, along with 3,000 permanent jobs once the resort complex is complete. 

Twists and Turns for Bally’s Chicago

While the scenes on Tuesday may have been underwhelming, the process of getting Bally’s Casino up and running has featured plenty of drama.

Currently, Bally’s Chicago is operating out of a temporary venue at the historic Medinah Temple in River North. That casino has proven to be a popular attraction, but has come nowhere near the revenue or tax figures that former Chicago Mayor Lori Lightfoot – who signed the deal to bring Bally’s to the city – or current Mayor Brandon Johnson had hoped for.

In fact, earlier this year, Johnson still expressed at least mild skepticism over whether Bally’s would ever build the permanent facility, as the company had little cash on hand and a growing pile of debt. However, the company secured $940 million in additional financing for the project from real estate investment trust Gaming and Leisure Properties, more than enough to cover the $800 million funding gap Bally’s had previously acknowledged. Bally’s is required to spend a minimum of $1.34 billion on the project under its agreement with the city of Chicago.

In July, a special committee approved a buyout of Bally’s by Kim’s hedge fund, Standard General, at $18.25 per share. The buyout will create a new company that combines Bally’s with Queen Casino & Entertainment, which already owned four casinos in the United States. Bally’s stockholders must still approve the transaction, though Bally’s expects the deal to be closed in the first half of 2025. 

The temporary Bally’s Chicago brought in $10.3 million in revenue for the month of July, which generated $1.4 million for in tax allocations for the city. In total, Chicago has received about $8.24 million in taxes from the facility in 2024 – far below the pace needed to reach the $35 million Mayor Johnson budgeted for this year.