Council enters land deal with McDonald

Dan Kulin

Thursday, Feb. 17, 2005 | 9:24 a.m.

Former Las Vegas Councilman Michael McDonald brought his plans for a senior housing complex on city-owned land to the City Council on Wednesday, and the council agreed to enter into an exclusive negotiating agreement with McDonald for the land.

McDonald will have 90 days to work out a proposed agreement with the city for the sale of the land, 13.4 acres at the southwest corner of Decatur Boulevard and Vegas Drive. The once prominent shopping area housed a branch of the defunct Wonder World shopping center but has since been demolished by the city.

McDonald is offering the city $8 million for the land.

Scott Adams, director of the Office of Business Development, said the city has spent about $7.6 million buying the land and demolishing the buildings on it. The city may spend another $400,000 to buy property within the area McDonald wants, but McDonald said his project would work with or without those additional properties.

Adams said the "goal is to break even" with this transaction, as it is ideally with others.

McDonald, who was on the council from 1995 until June 2003, gave the city an unsolicited proposal for the property. Like all former city elected officials, McDonald was prohibited from lobbying or appearing before the council for one year after leaving office.

Some council members said Wednesday that there is a need for senior housing in the city and that area.

"This is a very viable project and greatly needed," Councilwoman Lois Tarkanian said.

Councilman Gary Reese said the senior housing facilities he's come across all have waiting lists.

McDonald proposes several buildings for the land including a senior center, assisted living residential units, and regular apartments for seniors. He has said the seniors would probably pay $300 to $500 a month in rent, with additional money going to the apartment owners through federal low-income housing assistance.

McDonald said he will seek loans from banks to finance his project.

Under a best-case scenario, McDonald said construction could start in 2006, with the senior center and apartments open about 18 months later.