Yes, the world of finance is in a tail spin and some Las Vegas condo projects are in trouble but it seems that many Las Vegas projects are above the financing waste land that has swept over the U.S. real estate markets.

This last week I noticed another condominium project has bitten the dust due to the slow market and terrible financing availability.   Stephanie Village has completed an $8 million dollar club house and infrastructure improvements and is now closed for business.  This is the second project to shut down in Henderson in as many months with Vantage Lofts being the first.  One has to ask what will happen to these partially completed projects?

But not all in Las Vegas is doom and gloom.  Las Vegas City last week gave its approval to a non-binding agreement with Forrest City to 1) Acquire land for a casino in the new 61 acre development site the city owns.  2) Build Las Vegas City a new city hall and lease it back at a much reduced rate.  3) Develop a new public transit facility close to the new City Hall.

This would allow the City to assemble approximately 20 contiguous acres of land surrounding the old City hall which would be a very valuable asset for a possible casino project with frontage on Las Vegas Blvd.  This would also guarantee a new casino on the 61 acre development site.  Together two new casino projects with the renovation of the Lady Luck and the expansion and renovation of the Golden Nugget, the new Entertainment District could all make Downtown a must see for people visiting Las Vegas and revitalize the downtown areas.  Besides the new casino on the 61 acre site there will be a new fine arts center, a world class brain institute (under construction),  the world diamond center tower,  the World Furniture Market (3rd phase under construction) and many other buildings.

The City also has not given up on building a new major sports stadium off Main Street between the Stratosphere and Downtown.  Also this month the Streamline Towers Condominium project will start closing its units with their new owners.  Mean while to the south of the new Justice Center Juhl Condominiums continues work on its building complex.  The structure on this project has been fully erected and it is bustling with subcontractors of almost every trade.

Goldman Sachs completed its purchase of the Stratosphere in January and there are murmurings on the street that it will seek to expand and renovate its new purchase using the 12 acres of undeveloped lands it acquired in the purchase.

Just to the north of the 61 acres is the Moulin Rouge, an historic site of the first segregated Casino for people of color back when whites only could stay on the Strip.  This site has recently received preliminary approval from the City for a total new casino/hotel package with tower.

So it looks like old Las Vegas may become New Las Vegas in the next four to six years!

Looking at the County (Strip)  I remember when I was a child the rumors that Elvis Presley really didn’t die but secretly vanished in order to live his life outside the lime light.  Well it looks like Elvis may never die!  FX has announced plans to build a new casino based on the Kings persona on the corner of the Strip and Harmon.  This puts it across from City Center and Planet Hollywood and surrounded by the MGM Grand.  Not bad company Elvis!

Las Vegas Sands has its fingers in a three new projects.

Currently under construction is the new high end condo tower along with luxury retail right along Las Vegas Blvd.  They are also involved in a new major sports arena to be build with frontage along Koval which is the first road east of Las Vegas Blvd.  The third project just announced yesterday is a brand new 1.2 million sq. ft. convention center along with making room for an additional 7,000 new rooms.  This facility would be built on the east side of Koval. 

What I find interesting about all of this is that while the national press is busy saying how bad the residential real estate market currently is in Las Vegas they fail to see the $38 billion dollars of construction currently happening on the Strip which will completely dry up the residential real estate inventories as they finish construction and start hiring new workers.  Supply of homes in Las Vegas will be in short supply in 3 years, AGAIN.

Some Buyers and investors are beginning to see the future and coming back to purchase while prices are dirt cheap.  We are starting to see a lot more buying activity in the residential markets right now.  Many properties in the lower price ranges are beginning to once again receive multiple offers.  It looks like the market here may now be changing.  Historically the Las Vegas real estate market has made fast adjustments to market conditions and this market swing seems to be no different.

If you have any questions please give me a call, Max 702-334-2200

For the Latest in Las Vegas real estate call Max at 702-334-2200. Your comments and questions are welcome.