The economy and rising interest rates have put a lot of major construction projects in danger.
That combination has hit the Las Vegas Strip, particularly Dream Las Vegas, a boutique property under construction about two blocks from Allegiant Stadium.
That project, which will include a 531-room luxury hotel, restaurants, a casino, and a pool, has ground to a halt because its developer, Bill Shopoff, owes some $25 million to $30 million for work on the resort. Shopoff says the delay is temporary and a $400 million funding package should be completed soon.
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Dream Las Vegas may not end up being the only project delayed. Money has gotten a lot more expensive, which makes raising funds harder. And Las Vegas, while lucrative, is incredibly expensive to build in to begin with.
In addition to funding issues, Las Vegas has always been a place where projects get announced but never built. For example, multiple NBA-style basketball arena projects on the Las Vegas Strip have been introduced but remain more idea than reality.
So when work actually happens on a project, excitement builds, too. And now, a demolition effort has reinforced hopes that a major retail project is moving forward.
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Major Las Vegas Strip Project Moves Forward
In August 2022 the New York investment firm Gindi Capital filed paperwork to develop a 300,000-square-foot retail complex on the east side of Las Vegas Boulevard just south of Harmon Avenue.
The land involves two parcels, one including the Cable Center Shops, as well as some restaurants, and the former Hawaiian Marketplace.
"The project would reshape a busy stretch of the Strip that gets heavy foot traffic and is near several megaresorts," the Las Vegas Review-Journal reported. "[When] it announced the purchase, the firm said it was working with its design and development teams to 'unveil plans for a new flagship retail, entertainment and dining experience.'"
When the new project was proposed, it was expected to be three stories and would be limited to retail and restaurants at first, perhaps with a hotel in the future.
Now, construction has moved forward on the project, with part of the site being cleared.
"Construction crews recently turned the low-slung Cable Center Shops, an adjacent Boulevard food court and outdoor Fatburger eatery with slushie bar into piles of rubble," the newspaper reported.
Hawaiian Marketplace has not been demolished yet, but that is expected to be the next step in the process.
Revamping a Busy Part of the Las Vegas Strip
Gindi Capital, which also owns the nearby Showcase Mall, is not the only major developer with plans for this section of the Las Vegas Strip.
The billionaire owner of the Houston Rockets and Golden Nugget, Tilman Fertitta, last year spent $270 million to buy six acres at the southeast corner of Las Vegas Boulevard and Harmon Avenue for $270 million.
Fertitta has held his cards close to the vest and has not shared an exact construction timeline for his property. But Clark County commissioners have approved his plan for a 43-story, 2,420-room hotel-casino on the site.
That would give the downtown casino operator an upscale property in the heart of the Las Vegas Strip, which currently is dominated by Caesars Entertainment (CZR) and MGM Resorts International (MGM).
"Plans have called for the upscale project to feature restaurants, convention space, spa, wedding chapel, auto showroom and a theater with around 2,500 seats. It would also include suites and villas, VIP salons and a bar and lounge for high-limit gamblers, building plans indicate," the Review-Journal reported.
