Airport land deal raises additional questions

Adrienne Packer

Wednesday, Jan. 16, 2002 | 11:46 a.m.

New guidelines designed to strip controversy from Clark County's land-disposal process were mired in another round of debate Tuesday after commissioners rejected a cash offer that apparently met the letter of the new law.

Real estate broker Lawrence Goldman's $1.5 million offer for 11 acres was passed over Tuesday, and commissioners instead opted to trade for three acres of less valuable property.

The decision conflicted with the new policy that said cash offers 15 percent higher than the appraised value of county property will be accepted over land swaps.

Goldman's offer was 20 percent higher than the appraised value.

"The new policy didn't resolve anything," Clark County Manager Thom Reilly said. "Obviously from the discussions, the policy was not clear. Commissioners didn't feel like they had enough information to make a clear decision."

It is also unclear who owns the property involved in Tuesday's trade. A report written by McCarran International Airport officials, who oversee the land transactions, says GKT Acquisitions controls the three acres offered in the exchange.

However, the latest assessor's records show the property is owned by Blue Valley Development, a company owned by former three-term Clark County Commissioner Jay Bingham.

Commissioners said this morning they were unaware of Bingham's ties to the land. GKT owner Scott Gragson and Aviation Director Randy Walker did not immediately return phone calls.

The airport has come under fire recently for the way it disposes of land in its flight paths.

The federal government gave McCarran control of 5,300 acres dubbed the cooperative management area two years ago. The airport's task is to ensure that unsuitable developments, such as homes, are not built in the area, most of which lies under noisy flight paths.

While the airport can sell or lease the property to control development, critics and some commissioners have questioned the way the airport makes those decisions.

After Tuesday's debate Commissioners Yvonne Atkinson Gates and Chip Maxfield asked that a clear process be put in writing and approved by the board. Reilly set up a meeting with Walker for next week.

Atkinson Gates, who watched Tuesday's proceedings from her office, asked for the new policy last year and said she still is uncomfortable with the process.

"I don't want them bringing back any more items before the board until this is resolved and a new policy is approved by the board," she said.

The airport's policy was rewritten in 2000 after aviation officials recommended a land swap with developer William Gayler rather than a $10 million cash bid offered by developer Randy Black.

Gragson repeatedly reminded commissioners Tuesday the deal would be his 17th land exchange with the airport and threatened to quit negotiating deals if his company was not granted the trade.

"I still have future trades," Gragson, grandson of former Las Vegas Mayor Oran Gragson, told commissioners before the vote. "But I probably wouldn't take the risk."

Gragson's company controls three parcels off Blue Diamond Road. The parcels sit in the center of an 80-acre site already owned by the airport. McCarran officials said the three properties would complete an assemblage they plan to lease to a commercial developer.

Walker said a 50-year lease would generate more revenue long term than Goldman's cash offer.

Commissioner Bruce Woodbury was the sole vote against the deal; commissioners Myrna Williams and Atkinson Gates were absent during the vote.

Goldman, who appeared to upset with the outcome, said he wouldn't likely enter another bid for airport-controlled land.

"Don't waste my time," Goldman said to the board. "I have a million-five in the bank waiting to buy this thing."

Airport officials said this morning they don't know whether Bingham still owns the property or whether Gragson's company purchased it and it hasn't been registered with the assessor's office.

Their sole concern is that GKT has the legal right to transfer deeds.

"We weren't clear from the staff's side whether (GKT) owns it outright or they have an agreement with Blue Valley Development," said airport spokeswoman Hilarie Grey. "All we need is the assurance they have legal control of the property one way or another."

Eight-five percent of proceeds from sales, leases or exchanges from the airport land are returned to the federal government; 10 percent are returned to the county and 5 percent are given to the state school system.