Flying Saucers Hover Las Vegas Boulevard…Build Sports Arena.
Posted by Luxury Realty Group - September 3rd, 2007
Categories: High Rise Condos
You know those conspiracy types who say that computer technology was given to the government by the Roswell aliens? There’s now striking intelligence leading some to think that “The Greys” have enhanced Las Vegas Boulevard development. On August 22nd, 2007…another piece of evidence was found at the 4 mile “crash site”.
Go from a strip restaurant or casino to an NBA or NHL game in less than 5 minutes
Harrah’s Entertainment Inc. and Anschutz Entertainment Group recently announced they were partnering to build a 500 million dollar, 20,000 seat arena directly off “The Strip”. The project is set to break ground in Summer 2008, far ahead of any other arena plans in the city. Some experts predict that there’s only room for one NBA and NHL stadium in Sin City, and that he who gets off the ground first…WINS.
This announcement was a surprise to many but not to those who’ve seen the strip dominate the surrounding areas over the past couple years. The general consensus is that people want to own property or stay in hotels that are in the heart of the action; this mentality has caused challenge in other local markets in 2007.
The same effect of “core area focus” can be seen in cities that feature ocean views; high rise buildings with a direct beach location are usually more valuable than buildings 3 blocks away.
*Shocking Stat*
Did you know that the Thomas and Mack Center is the 2nd highest grossing sports arena in the country? That’s WITHOUT an NBA or NHL team. The only arena that grosses more? Madison Square Garden in New York. Want to know how this fact may benefit the Harrah’s-AEG arena? Check out the “Other Factors” Section below.
The stadium could be located behind Bally’s and the Paris Hotel
Photo Courtesy of Mark Adams (Visit link for more maps)
The Real Deal
Anschutz Entertainment Group (AEG) is a respected, proven company. This arena development is very likely to happen and AEG has the power to bring an NBA or NHL team to the building. Is there room for two NBA or NHL teams in Sin City? Maybe, maybe not. This is why many analysts agree that the first stadium off the ground wins this battle.
Experience speaks volumes. AEG is the developer and operator of venues such as:
- Staples Center in Los Angeles
- Sprint Center in Kansas City, Mo.
- Toyota Center in Chicago
- Home Depot Center in Carson, Calif.
- London’s O2 Arena
- NOKIA Theatre Times Square
They also own the Los Angeles Kings professional hockey team.
The Strip Domination (click link in intro for a breakdown of the 30 billion dollars worth of construction currently happening)
Over the past few years, Vegas’ core area…”The Strip”…has dominated when it comes to consumer demand. Land prices in the core four mile stretch between Mandalay Bay and Sahara Blvd have seen an 8x increase in valuation in the last 5 years.
The proof? It’s estimated that the developers of Sky Las Vegas, a residential luxury condominium tower, paid 4 million an acre just a few short years ago for their strip frontage land. In 2007, ELAD Properties purchased the New Frontier for an estimated 34 million dollars an acre.
The Frontier will soon be imploded and is expected to be replaced with a 6-8 billion dollar Plaza Hotel out of New York.
Land value increased 8x in 5 years, in less than a mile
Other Factors
- Other strip casino hotels will encourage this arena to get built simply for the fact they don’t want tourists adventuring to downtown to see a game or event. Makes sense right? You bet. This arena right from the start has most pulling for it.
- The Thomas and Mack arena is said to be as successful as it is because of Facility Director Daren Libonati. Imagine what would happen if AEG could lure him away from Thomas and Mack? What a dream job it would be to be in charge of a brand new, state of the stadium. Would YOU take the job?
Why is the core area in such high demand over off strip locations?
1. It’s the hot spot. It’s loaded with multi billion dollar mega resorts, fine restaurants, etc.
2. There is a land shortage and major companies like MGM, Boyd and Harrah’s own most of it.
3. The strip has constraints that stop it from growing much longer than four miles. Call me and I’ll tell you why. 702-205-1818
The Strip is only 3.88 miles from Mandalay Bay to the Sahara Hotel
In Closing
When looking at the Las Vegas Boulevard development domination in 2007 and beyond, it may seem that there is a conspiracy. In reality, the fact is that location is king…it always will be.
The proof is in the billions of dollars under construction in 2007. Projects like MGM MIRAGE CityCenter, The Cosmopolitan Resort, Echelon and Fontainebleau are changing the skyline by the day.
Want to live on the strip and be close to the game, world class shopping, celebrity chef restaurants and casinos?
Aaron Auxier, REALTOR® can be reached at 702-205-1818.
Luxury Realty Group is recognized by the press as a leading brokerage on the Strip. They can be seen on networks and in publications such as CNBC, Forbes Magazine, Details, LV Business Press, Wall Street Journal, The Review Journal, Los Angeles Times and USA Today.
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Copyright © 2007 Aaron Auxier. All Rights Reserved.
Disclaimer: All information in this blog is subject to change without notice. Subject matter is not guaranteed and is often times considered time sensitive.
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All information in this blog is subject to change without notice. Subject matter is not guaranteed and is often considered time-sensitive. See DISCLAIMER.
Copyright © 2008 Luxury Realty Group LLC. All rights reserved.