Neonopolis pact remains elusive

Diana Sahagun

Monday, April 17, 2000 | 11:04 a.m.

A potential anchor tenant for Las Vegas' downtown Neonopolis project penned a letter of intent last week, but officials said Monday it could be months before a binding agreement is signed.

Until then, it is doubtful the theater tenant will be named, according to Fremont Street Experience President Mark Paris.

"Right now they've agreed that both parties are interested," Paris said, referring to the anchor tenant and Prudential Insurance Co. of America, which is financing the project with World Entertainment Centers. "When they will announce the theater, I don't know."

Las Vegas Mayor Oscar Goodman said he will meet with Prudential representatives this week and "as far as I'm concerned, the clock is ticking."

With the recent completion of the subterranean parking garage, World Entertainment Centers has 90 days to begin construction of the three-story center downtown.

The mayor has said if the developers do not sign an anchor tenant by then, the city will pull the plug on the project.

The company has not had an anchor tenant since Mann Theatres pulled out of the project last November after its parent company filed for bankruptcy protection. Mann Theatres was signed to build 11 theaters to anchor the complex.

The tenant may have plans to reconfigure the movie theaters, which may expand to 14, Goodman said.

Paris questioned today why the construction pace of the Neonopolis project is being so closely monitored. He pointed to other Las Vegas construction projects, such as the expansion of the Fashion Show Mall, that have moved equally slowly.

"This project is tracking like a normal real estate project," Paris said.

"We've had some obstacles to overcome, and that is not atypical for this type of project. We're encouraged from the information we've been given, it's moving forward and we're supportive of it."