City may move housing complex

Tuesday, June 2, 1998 | 9:54 a.m.

The Las Vegas City Council will decide Monday whether to take action in removing the 30-year-old Sierra Nevada Arms housing project.

The vacant buildings, 50 altogether, are owned by Mike Kinzler, who had planned to move and rehabilitate them as low-income housing.

Because they are dilapidated, full of asbestos, and are considered hazardous to children, the city had ordered Kinzler to move the buildings, located near Lake Mead Boulevard between Holley Avenue and Simmons Street. Kinzler had until 5 p.m. Monday to acquire a $350,000 bond insuring proper removal, but a bond had not been posted before the deadline.

Therefore, according to Councilman Gary Reese, whose district includes the buildings, said the city will vote Monday on whether to remove or demolish the buildings.

"We'll take responsibility for it," Reese said. "We don't want it to be a problem for everyone else."

Four of the buildings were removed Saturday because they were within the North Las Vegas city limits.

Sierra Nevada Arms was closed down after the Department of Housing and Urban Development sold it a year ago for a nominal fee after it was condemned as uninhabitable. Most of the 11 acres, is now owned by Shepherd Hills Development Co., which bought it for $1.

Using a grant of $448,000 provided by HUD, a Las Vegas general contracting firm, Southwest Color Rock, was hired a year ago by Shepherd Hills to remove the asbestos and demolish the buildings. Southwest Color Rock received two payments from Shepherd Hills, totaling $228,000

Instead of demolishing the buildings, however, Southwest arranged a salvage agreement and sold the buildings to Kinzler, a local contractor. The sale price to Kinzler is unknown at this time. Southwest has not returned calls placed by the Sun.

It was after the sale to Kinzler that the city ordered him to remove the buildings, following complaints from neighbors.