Fourth of July holiday travel increase forecast for Vegas

Wednesday, June 30, 2004 | 10:55 a.m.

High temperatures and gas prices still above $2 a gallon aren't expected to hurt visitor traffic for the Fourth of July holiday in Las Vegas.

About 277,000 visitors are expected to surge into town through Monday, which is up about 1 percent from a year ago, the Las Vegas Convention and Visitors Authority projected Tuesday. Last year, July 4 fell on a Friday.

Hotel occupancy is expected to be 94.7 percent, up about 1.1 percentage points from a year ago. The non-gambling economic effect of July 4 visitors is anticipated to total $166.6 million, up about 1 percent from last year.

July 4 tends to be a stronger weekend for Las Vegas when it falls on a three day weekend, Las Vegas Convention and Visitors Authority Senior Research Analyst John Piet said.

"With the economy being stronger than last year ... this is a modest and conservative forecast," he said.

Meanwhile, properties are gearing up for a busier than normal weekend.

MGM MIRAGE properties are reporting progressively higher occupancy rates through the weekend, with Saturday and Friday not as highly booked as Sunday, company spokeswoman Yvette Monet said.

"Rates are at or above where they were last year at this time but the booking window is very short," she said. "Travelers are going to be booking right up to the last minute."

Several resorts have large events planned for the weekend, including a fireworks display and pool party at the Stratosphere, Simon and Garfunkel at MGM Grand, the Steve Miller Band and Gipsy Kings at Mandalay Bay. Treasure Island also will feature a fireworks display starting Saturday at midnight, which also will announce the opening of a new lounge called Tangerine that will feature burlesque shows. Thursday, Caesars Entertainment Inc. also will unveil a Roman Plaza at the Strip entrance to its Caesars Palace resort that will feature a restaurant, bar, outdoor ampitheater for up to 4,500 people, a wedding chapel and merchant displays.

While July 4 isn't typically one of the busiest weekends on the Strip, the Stratosphere is expecting its second-biggest weekend of the year.

The Stratosphere has become known for its annual fireworks display and pool party, which is expected to draw up to 1,500 guests this year, property spokesman Michael Gilmartin said. The hotel-casino is nearly sold out and is anticipated to be full as more visitors continue to drive in from the property's chief feeder markets, he said.

The property's tower has become a prime draw because visitors can see the fireworks explode at eye level, he said.

The largest percentage of those visitors are likely to come from Southern California.

About 3.4 million Southern Californians are expected to travel over the July 4 weekend and about 2.8 million of those are expected to drive more than 50 miles to their holiday destination, according to the Automobile Club of Southern California.

Las Vegas remains the top destination for Southern Californians, followed by San Francisco, Yosemite National Park and the Grand Canyon, according to a poll of travel agents by AAA. The number of people expected to travel to Las Vegas was unavailable, the AAA said.

Rising gas prices haven't slowed a "strong increase" in travel over the past eight to 10 months, AAA of Southern California spokesman Jeffrey Spring said.

"We thought (travel) would be somewhat tempered (by higher gas prices) but based on projections earlier in the year, we keep on seeing travel increases," Spring said.

More than 5.5 million Californians are expected to take vacations this weekend, a 2.5 percent increase from last year.

Nevadans also will be hitting the road as tourists flood into the state this weekend.

AAA of Nevada estimates that more than 300,000 Nevadans will travel this July 4 holiday, about 87 percent traveling by car and about 18 percent flying to their destination. Gas prices in Nevada are down about 15 cents after hitting record highs around Memorial Day, the AAA said.

The Las Vegas Convention and Vistors Authority's Piet said the bureau hasn't seen any evidence yet that gas prices have hurt travel. Those fears have been lessened by falling prices in recent weeks, he said.

Gas prices haven't made a dent in business so far at the Stratosphere, where most visitors have driven from feeder markets such as Los Angeles, San Diego and Phoenix, Gilmartin said.

"Gas prices would have to get a lot higher for that to happen," he said. "I think more people are having issues with the heat rather than gas prices."