New hotel-casino projects along the Las Vegas Strip continue to proliferate after slowing down during the Covid pandemic. Locals and visitors have become accustomed to seeing cranes and construction machinery in the area and can expect to see many more in the coming months.
In recent years, the 4.2 miles of the Strip has been dominated by properties operated by Caesars Entertainment (CZR) – Get a free report and MGM Resorts International (MGM) – Get a free report, mostly in the central and southern portions of Las Vegas Boulevard. However, several projects are currently underway by operators other than the two dominant hotel-casino players.
The Dream Hotel Group broke ground in July on a new boutique hotel/casino on Las Vegas Boulevard near the private flight terminal at McCarran International Airport, about two blocks from Allegiant Stadium and relatively close to the T-Mobile Arena. The 531-room hotel, which will also include a 20,000-square-foot casino, is expected to cost around $550 million and open in 2024.
Long-awaited opening of Fontainebleau
The massive Fontainebleau project, which began nearly 20 years ago, went through bankruptcy and multiple owners before returning to the hands of the original owners, who now have the property on track for a late 2023 opening.
According to Fontainebleau Development, the project will include a 173,000 square foot casino, approximately 3,700 rooms, dining experiences and 90,000 square feet of unique luxury retail outlets consisting of 35 luxury retail concepts on two levels and located within the resort’s casino. Fontainebleau has billed itself as the first luxury hotel to be built in Las Vegas in 15 years.
Oak View Group has planned a $3 billion project for a 25-acre property it recently acquired near the intersection of two major freeways, I-15 and I-215. The project, now called the OVG Las Vegas Hotel & Casino, will include an 850,000 square foot arena, casino, hotel and additional amphitheater for entertainment events. The project will have 2,000 hotel rooms and the arena will have 20,000 seats, although this could be slightly adjusted during the planning phase. OVG said it is building the arena for an NBA team, but the NBA has not committed to expanding in Las Vegas.
Billionaire NBA owner Tillman Fertitta, who owns the Golden Nugget on Fremont Street, submitted plans to build a 43-story resort-casino on the property at Las Vegas Boulevard and Harmon Avenue after purchasing a property earlier this year bought on the Las Vegas Strip. The site is currently home to a recently closed motel and a few closed gift shops.
Fertitta also received demolition permits for the buildings that currently stand on the property, the Las Vegas Review-Journal reported
The MSG Sphere is currently under construction at The Venetian, a large arena development at the corner of Sands Avenue and South Koval Lane across from The Venetian on the Strip. MSG Entertainment, the arena’s developer, has not yet set a date for the opening but plans to open the arena in time for participation in the FIA Formula One World Championship, which will be held in Las Vegas in November 2023.
U2 is planning a residency at MSG Sphere that will span several months and take place on non-consecutive days, Billboard reported.”
According to MSG Entertainment, MSG Sphere is described as the next generation of live entertainment, offering audiences a multi-sensory experience of sound and light in the largest spherical structure ever created. The arena has 20,000 standing places, 17,500 seats and has 23 VIP suites.
Owner MSG said in May it was ready to round out the project, which had cost the company $1.3 billion up to that point, according to the company’s most recent conference call.
Former Riviera site to be sold
The Las Vegas Convention and Visitors Authority is about to finalize a deal to sell 10 acres on the southeast corner of Las Vegas and Elvis Presley Boulevards, formerly the Riviera site, to Chilean real estate investor Claudio Fischer for $120 million , the Review Journal reported.
The transaction for the site, which is adjacent to the Fontainebleau and across from Resorts World, is expected to close by November 30, according to LVCVA chief executive Steve Hill, but Fischer has until December 15 to complete the transaction.
Fischer will reportedly not reveal his plans for the site until the deal is finalized. Under the deal, Fischer has until January 1, 2031 to begin construction, after which the LVCVA would have the option to buy back the land.
Proceeds from the sale to Fischer would go toward a two-year, $600 million renovation project for the North, Middle, and South Concourses of the Las Vegas Convention Center, which is expected to begin in March.