Goodman eyes downtown retail mall

Erin Neff

Friday, Feb. 2, 2001 | 11:25 a.m.

Sidelined behind his desk with a bum foot, Las Vegas Mayor Oscar Goodman still felt good enough Thursday to leak the word of a possible downtown retail mall.

Goodman, suffering from a bout with gout, met Thursday morning with representatives of Grubb & Ellis, who reportedly told him they were confident they would soon be able to announce a deal with Union Pacific Railroad for 35 acres of railroad land downtown.

Grubb & Ellis, one of the nation's leading real estate service firms, is reportedly looking at developing a high-end outlet mall on the southernmost portion of the Union Pacific property downtown.

Don Haze, managing broker of Grubb & Ellis' Las Vegas offices, said he could neither confirm nor deny that any negotiations are under way with Union Pacific.

Don Caldwell, who heads Union Pacific's real estate developments, confirmed the railroad is in negotiations to sell the parcel, but would not discuss any details.

"We're not ready to announce anything, and we would prefer that the buyer announce that," Caldwell said.

Goodman said that although the city cannot pick and choose the type of development that occurs on the Union Pacific land, he would make sure any projects meet with city design elements.

"I'm going to hold them to the highest standard," Goodman said. "It has to be a very special place."

The Union Pacific land is immediately adjacent to 61 acres the city purchased from Lehman Brothers Holdings Inc. Dozens of developers have submitted proposals to the city for consideration. Goodman has said the site will be the keystone in downtown's revitalization.

The mayor said Grubb & Ellis is confident their outlet mall plan will be successful at the Union Pacific site, because of its proximity to major freeways, hotel rooms and the Fremont Street Experience.

But will a mall development just blocks from the city-backed Neonopolis project further hamper the delayed $99 million entertainment center?

"It's free enterprise," Goodman said. "We're dealing with big boys here."

Goodman also said Neonopolis, which includes movie theaters and restaurants, is a different type of project that would not be affected by an outlet mall.

"It's a more entertainment-driven place than the mall they discussed with me this morning," Goodman said Thursday during his weekly press conference.

The mayor held this week's press conference in his office because of his inability to walk downstairs to the council chambers where the sessions are normally televised live.