Market Center gets land for first phase

Diana Sahagun

Tuesday, Nov. 13, 2001 | 9:17 a.m.

Developers of the World Market Center have closed escrow on the first phase of a 56-acre furniture mart.

The developers of the furniture mart, beneficiaries of a tax rebate approved by the City Council last week, closed escrow Friday on a 20-acre parcel near downtown Las Vegas, previously owned by the Union Pacific Railroad, at a cost of $15 million. The remaining acreage near Grand Central Parkway and Bonneville Avenue will be purchased by the developers as the land is developed.

The developers also announced Monday that because of the demand for space by prospective tenants, the first phase, a furniture showroom, has been expanded from a million square feet to 1.25 million square feet.

Dave Palmer, general manager and director of leasing for World Market Center, said more than 70 companies have signed leases for the first phase. The tenants include all major segments of the furniture industry, including decorative accessories, rugs, lighting, home office and import goods.

The 25-percent increase in space will include the addition of two floors to the previously approved 10-story showroom, Palmer said. Plans for phase two, which calls for a convention center, including temporary exhibition space, are also being accelerated, according to the developers.

Construction on the $1 billion project is expected to begin in spring 2002, with the opening of the first phase in 2004.

The council last week unanimously approved granting the developers a 50-percent property tax rebate over the next 20 years, estimated to be about $40 million.

When completed, the World Market Center will be the largest home furnishings complex in the West, at 7.5-million square feet. The third phase will house three separate buildings, including areas for home decor and accessories. The final phase will be a retail home furnishings mall, which will be open to the public.