NAIOP Southern Nevada hosts panel on Vegas Strip growth
Could the Las Vegas Strip grow longer with the major sports venues lining it at the north and south ends?
It’s possible, according to two gambling industry experts who spoke to members of NAIOP Southern Nevada, the Commercial Real Estate Development Association.
Alan Feldman, Distinguished Fellow of the International Gaming Institute at UNLV and former executive of MGM Resorts International, and Josh Swissman, founding partner of the Las Vegas-based Strategy Organization, discussed the future of the Strip during a one hour presentation for the 635 members of the NAIOP. group in Orleans.
Feldman said it’s possible in the distant future that the Strip will expand south to the M Resort on Las Vegas Boulevard and St. Rose Parkway.
But over the next decade, Blue Diamond Road and Warm Springs Drive could be the southern endpoint of the Strip with the new complex and 20,000-seat NBA-ready arena being developed by Oak View Group of Tim Leiweke.
“If you look at the track record of Tim Leiweke and his colleagues, I have a feeling we’re going to see a slightly different variation, sort of Resorts World 2, on this part of the Strip,” Feldman said in an interview after the presentation. “They’re just going to have to have an NBA team there, which I think is in everyone’s interest.”
Meanwhile, Swissman said the prospect of an MLB stadium near Las Vegas Boulevard and Sahara Avenue could expand the Strip north.
Oakland A executives have been in talks with Phil Ruffin, owner of Circus Circus and the 37-acre Las Vegas festival grounds on the southwest corner of that intersection.
The A’s have received permission from MLB to explore the possibility of relocating as they negotiate for a $1 billion stadium in a $12 billion mixed-use development at Howard Terminal on the waterfront in Oakland.
New hotel towers
Swissman also expects the northern end of the Strip to be a development hotspot with the Fontainebleau resort opening next year.
“You will definitely see new hotel towers springing up from existing operators, whether it’s Resorts World building its second phase – which is just as big as the first – or you see it doesn’t take too much speculation to think that the Seminole Tribe and the Hard Rock on The Mirage property are building additional hotel rooms for a bunch of different reasons,” Swissman said.
“You’ll see more development on existing operator land and you’ll also see, in my opinion, a better public transportation system on and around the Strip,” he said. “The Monorail was the start of that thought process, but with the (Vegas) Loop (an underground transportation system developed by Elon Musk’s the Boring Co.) being what it is and the aggressive growth plans they have, I think the way you walk up and down the strip now will be very different from the way you will in 10 years.
Feldman thinks a ballpark is a possibility on the North Strip.
“I think the baseball situation is very present despite what’s going on in Oakland,” Feldman said. “I haven’t heard anyone in Oakland come up with a financing plan yet, whereas here there are a few individuals or companies that just might decide they want a ballpark for their development. Ballparks, although expensive, are not as expensive as a brand new hotel. I think the A’s are more likely than not to come here.
Feldman warned that further development of the strip could be hampered by water shortages, even though the resort industry has a good record of conservation.
“At some point, water is going to be a limiting factor,” Feldman said. “It’s almost already the case. The only thing allowing these large hotels to survive is the fact that they have invested so much in the technology and sustainability of each property that the Strip currently accounts for something like 10% of the water used in the entire county. It is therefore not the large hotels that are the major consumers of water. The reality is that they are actually very effective. “
Other highlights of the presentation:
– Noting the city’s adaptation to ever-changing visitor demographics to maintain its edge, Feldman urged local residents to be sure to take one last look at the Mirage Volcano – an attraction he has forever raw would be a permanent landmark of the Strip. Hard Rock International has announced that it will replace the volcano with a guitar-shaped hotel tower in the near future.
– Swissman and Feldman believe the arrival of a Formula 1 race on the Strip next year will strengthen its position as an international sports destination. Like the Formula 1 races that took place at Caesars Palace in the early 1980s, they expect the new race to be heard throughout the Valley.
– The Strip’s evolution as “the world’s greatest midway carnival”, according to Feldman, has included the major transition of replacing cheap – and awful – food offerings with chef-led experiences. world renown.
— None of the pundits were surprised by Caesars Entertainment Inc.’s U-turn from wanting to divest itself of a Strip asset, announced two years ago, to its recent decision to “hold back” the sale of a property until so that the company can maximize its profits in a transaction.