The impact of casino proximity on northeast urban communities: a literature review

The paper investigates how casino proximity affects urban communities in major Northeast U.S. metropolitan areas (New York City, Philadelphia, Baltimore). Against a backdrop of expanding legalization, regulation, and proliferation of casinos (including racinos), the study highlights that accessibility, availability, and acceptability have increased participation in casino gambling. While prior work links proximity to increased participation and gambling-related problems, the specific relationship between urban casino proximity and impacts on host communities remains underexplored. The purpose is to synthesize existing literature to clarify the construct of casino proximity and its implications for socio-economic outcomes in Northeast urban casino communities, emphasizing the importance for policymakers, social services professionals, and other stakeholders.

The review synthesizes four areas: (1) Historical overview of gambling: From early prohibitions to legalization across most U.S. states, the industry diversified (lotteries, pari-mutuel, commercial/tribal casinos, racinos, internet and sports betting). Casino revenues grew substantially, with urban markets contributing increasing shares. (2) Casino-gambling and major Northeast outlets: Urban casinos emerged in NYC, Philadelphia, and Baltimore, often as racinos offering VLT slots and electronic table games. Revenues are high (e.g., Resorts World Casino NYC led standalone non-Nevada venues), but benefits to local host communities are unclear. (3) Constructs of casino proximity: Definitions vary (e.g., distance thresholds from 10 to 50 miles; travel time/distance). Studies often find proximity increases participation and is associated with problem gambling, but many focused on non-urban settings and lack standardized measurement. (4) Theoretical frameworks: Exposure theory frames casinos as environmental toxins increasing gambling-related problems with increased access; adaptation theory posits that adverse impacts may attenuate over time in mature markets. Empirical applications are limited; one large Canadian study found evidence for both exposure and adaptation effects. The review also discusses gambling disorder (DSM-5) and problem gambling as key outcomes linked to increased access and proximity, with under-detection and stigma complicating help-seeking.

A systematic literature review following PRISMA steps (identification, screening, eligibility, inclusion) was conducted. Hand-searching across Academic Search Premier, ProQuest Central, Google Scholar, PsycINFO, and SOCINDEX used terms including: casino proximity, casino accessibility, casino location, casino communities, urban gambling, urban casino, casino proximity and socio-economic status, casino proximity and problem gambling, and northeast casinos. Minimal date restrictions were applied; core coverage focused on 2004–2019. Identification yielded 210 articles. Initial exclusions removed 111 not aligned with the review focus. Titles/abstracts screening on the remaining 99 excluded 26. Full-text eligibility assessment of 73 led to exclusion of 18. Ultimately, 55 articles met inclusion criteria (relevance, authority/peer review, and currency assessed via Google Scholar citations). The review is underpinned by exposure and adaptation theory perspectives.

• Urban casinos are commonly located in disadvantaged, lower socio-economic neighborhoods with pre-existing gambling cultures, particularly where racetracks existed (racinos). - Promised socio-economic gains to host communities tend to be modest and, according to cited work, often unsustainable over time. - Increased accessibility and availability due to proximity likely increases casino participation; multiple studies associate proximity/access with higher risk of problem gambling and other gambling-related harms. - Definitions and measures of casino proximity vary (e.g., 10–50 miles thresholds; travel time), complicating cross-study comparisons; evidence remains limited for urban-specific contexts. - Revenue impacts are substantial at the market and state level, with unclear direct benefits to local communities: 2018 gaming revenues included Las Vegas Strip $6.59B; Atlantic City $2.51B; Chicago $1.95B; Baltimore–Washington $1.88B; New York City $1.45B; Philadelphia $1.30B. Standalone venues outside Nevada: RWCNYC $852M; MGM National Harbor just over $700M; Parx approx. $600M; Live! slightly under $600M. - Theoretical synthesis suggests both exposure effects (increased harms with increased access) and potential adaptation over time in mature markets, though empirical testing in urban settings is scarce. - The literature indicates potential negative socio-economic outcomes (e.g., crime, predatory financial services, increased demand for social services) alongside possible benefits (employment, redevelopment), with net local impacts uncertain.

The synthesis indicates that proximity—operationalized through accessibility and availability—relates to higher participation and elevated risk of gambling-related problems in urban contexts. The three As (accessibility, availability, acceptability) reduce the need to travel to distant casinos, potentially increasing frequency and risk. While states realize substantial tax revenues, the translation of these gains into improved socio-economic outcomes for host neighborhoods is unclear, with some evidence of negative externalities (e.g., crime, pawnshops/payday lenders) and placement in disadvantaged areas. Racinos’ reliance on VLTs and electronic games may heighten risks given their addictive potential and reduced social interaction. Exposure theory helps explain increased harms with increased access; adaptation theory suggests attenuation over time in mature markets, but urban casino communities have not been robustly tested for adaptation effects. Overall, proximity-related harms may produce negative socio-economic consequences for host and neighboring communities, reinforcing the need for targeted policy, prevention, and intervention.

This review consolidates evidence on casino proximity and urban casino communities in the Northeast, contributing a structured account of constructs, markets, and theoretical perspectives. It highlights that urban casinos are often sited in disadvantaged areas, that promised economic improvements may be limited or unsustainable, and that increased proximity can elevate participation and risk of gambling-related problems with possible negative socio-economic impacts. Future research should: (1) establish standardized definitions/metrics of casino proximity suited to urban environments; (2) employ empirical, longitudinal designs to assess causal impacts on socio-economic outcomes; (3) test exposure and adaptation dynamics in urban markets; (4) evaluate policy and harm-minimization strategies (e.g., responsible gambling tools, zoning) and their community-level effects; and (5) clarify the pathways by which state revenues do or do not benefit local host communities.

• The review relies on existing literature with relatively few studies directly examining urban casino proximity and its community-level impacts in Northeast metropolitan areas. - Lack of a standard definition and measurement of casino proximity across studies limits comparability and synthesis. - Most evidence for exposure/adaptation effects stems from non-urban or non-U.S. contexts; empirical applications in urban U.S. settings remain limited. - The search emphasized 2004–2019 and hand-searching of selected databases; relevant studies outside this window or in other sources may have been missed. - No primary data were collected; conclusions depend on the quality and scope of included studies, many of which report associative rather than causal findings. - Generalizability is constrained by market heterogeneity (e.g., racinos vs. destination casinos, regulatory differences) and by acknowledged limitations in cited studies (e.g., large-sample generalizability issues).