Downtown site proposals aired

Diana Sahagun

Friday, June 1, 2001 | 11:09 a.m.

Four developers are in the running to build a medical center, cultural arts center and sports arena in downtown Las Vegas, promising to bring thousands of jobs and millions in tax revenue to the struggling area.

According to plans released to the mayor and Las Vegas City Council today, Held Properties Inc. plans to build a medical campus and high-density residential complex on 61 acres of land downtown. Construction would begin in 2004 with build-out by 2019. The project would cost $1.6 billion, with estimated tax revenue to the city reaching $15.5 million annually. The project would provide almost 10,000 new jobs.

Millennium City Inc. is planning a medical center and arts facility, which would include residential and office components. The developer would invest $750 million in the project and it is expected to generate $18 million in taxes to the city annually. At least 1,500 jobs would be created.

Southwest Sports Realty, a company with expertise in developing sports facilities around the United States, would start construction on a sports arena by 2005. It would cost $445 million and take 10 years for build-out. The city would receive $3.5 million annually in taxes.

LV Studio Development Inc. is planning to build a film stage and studio, which would cost $403 million to build. The project would add between 10,000 and 12,000 jobs.

Other responses either did not comply with the city's request or the applicants did not respond.

The proposals were due by 5 p.m. Thursday to the Business Development office, and were scheduled to be released to the media, mayor and City Council this afternoon.

Las Vegas Mayor Oscar Goodman, who has purposely not viewed the proposals before today or met with potential developers, as not to appear biased, said he has high hopes for the land.

"When it comes to developing downtown, and especially the 61 acres, I feel like I'm playing the game Monopoly, like I'm a big kid in a candy store," Goodman said Thursday.

Goodman's fervent energy hasn't slowed down since he crowned his first year in office in December by announcing the city had obtained 61 acres of undeveloped land from Lehman Brothers immediately adjacent to downtown, touted as the future for redevelopment efforts.

After casting a wide net for proposals, Goodman in March limited potential developer's plans to include a performing arts center, urban-density residential, office space and an academic medical center.

Although 10 developers responded to Goodman's original request for responses in January, only four responded to the required list of projects.

Business Development Director Lesa Coder said the successful efforts of her staff and the vision and support from the mayor and city manager's office will put the department on the map.

"We'll consider ourselves very blessed when we have enough business to give anybody a headache -- but what a great headache to have," said Coder, who was hired from Clark County in July to lead redevelopment efforts in the city.

Already, Coder said the potential success of the projects has drawn interest from smaller companies who are watching from the sidelines waiting to see where they fit in.

"My expectation is seeing them coming to develop to the west side of the (Union Pacific) railroad tracks or along Bonanza Road and Alta Drive -- within a mile radius for sure," she said.

Planned nearby is a high-tech incubator to be built by 21st Century Financial Systems, Inc., and a 7.5 million-square-foot furniture mart proposed by Furniture Mart Enterprises.

City Councilman Lawrence Weekly, whose ward includes the 61-acre site, said nearby businesses are already catching on to the potential for greatness on the land.

Nearby Nevada Ready Mix, on Bonanza Road, is making improvements to its building, creating off-site improvements and putting in new curbs and landscaping, he said.

"People are now dressing up their businesses because they understand to be by something that's going to be magnificent, you have to play your part," Weekly said.

By June 7 a panel that includes Goodman, Weekly, City Councilman Gary Reese, City Manager Virginia Valentine, Deputy City Manager Steven Houchens, Coder, and others are scheduled to have reviewed responses from the developers.

The City Council is scheduled to be make a decision on the projects by June 20.

The city will ultimately choose a master developer who will oversee the entire 61 acres, Coder said. The master developer will then employ other developers who will work their portion of the project.

Working with the master developer will be a "project coordinator," who will be hired by the city to oversee day-to-day activities. Coder said she has already compiled a list of potential applicants. The review panel, downtown stakeholders, and the City Council will discuss the list and then fill the position.

Goodman said he wants the projects not to attract just tourists, but residents from around the Las Vegas Valley. He said whatever goes on the site must be "architecturally dramatic."

"I want people to say this is a real city, a real downtown Las Vegas," Goodman said. "I want them to feel magnetized to want to come here."

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