Downtown acreage attracts flock of developers

Dan Kulin

Thursday, March 2, 2006 | 7:18 a.m.

The high level of interest in building on Las Vegas' 61 acres downtown has the city's consultant optimistic that once private development starts, it may start with a flurry.

"There's a good chance we'll see a lot of it built at once, maybe five or six projects that begin simultaneously," consultant Dan Van Epp said.

Van Epp cautioned, however, that the economy and rising construction prices could affect what might happen in another year or two.

Still, Van Epp said the "deep interest" in building on the last major vacant tract of land downtown is a good sign for the ambitious development plan.

The city's business development director, Scott Adams, said Las Vegas chose Van Epp and his San Diego-based company, Newland Communities, because of the firm's experience in putting together developments involving several simultaneous projects.

But Adams said the potential of having five or six projects under way at the outset "is better than we thought would happen."

Although confidentiality agreements prevented Van Epp from discussing specifics, he said he is working with roughly 25 companies that have expressed an interest in building on the 61 acres.

"There's a long list of interested parties, some who want to do retail, some residential, or office, and some fit into what we're doing and some don't fit so well," Van Epp said.

Early plans for the property called for building several high rises with apartments or condominiums, with retail space on the ground floors.

Other projects planned for the 61 acres include the Lou Ruvo Alzheimer's Institute, which could anchor an academic medical center; the Fred W. and Mary B. Smith Center for the Performing Arts; and possibly a new City Hall and baseball stadium.

"I think you'll see proposals come to the city during the summer," he said, adding that specific projects probably would go before the council this fall. Under that timeline, construction on private projects could be under way by late 2007.

Van Epp said his company also is working on plans for a building, but said it was too soon to say whether it might be among the first on the site.

Van Epp and Adams said several issues are being ironed out now, including traffic, parking, the location of ground-floor retail shops and block sizes.

In December, the City Council hired Newland to oversee plans for Union Park, the working name for the proposed development on the 61 acres. The contract specifically calls for Van Epp, Newland's regional vice president, to work with the city on the project.

Van Epp is a former president of the Howard Hughes Corp. and has been one of a group of local business leaders advising Las Vegas Mayor Oscar Goodman on the 61 acres development for more than a year.

The contract gave the company the right to buy up to 7.6 of the 61 acres for market value in return for meeting development goals, such as having construction start on at least one building within three years, plus having at least three privately owned buildings finish- ed and five blocks of the 61 acres in private hands within five years.

The council has approved plans to borrow $40 million for infrastructure improvements, such as new roads and utility lines, which are expected to be under way by the end of the year.

Van Epp said he expects to give the council a revised plan for the 61 acres in April. The revision, he said, will be similar to the existing development plan.

Dan Kulin can be reached at 229-6436 or at dan@lasvegassun.com.