Facebook
Fark
Digg
Reddit
Stumble
Boyd Gaming’s unfinished Echelon sits vacant on the Strip.
By J. Patrick Coolican (contact) 
Saturday, April 21, 2012 | 2 a.m.
J. Patrick Coolican
Sun archives
-
http://www.vegasinc.com/news/2011/jun/24/abandoned-projects/Abandoned projects leave lasting reminder of economic crash(06-24-2011)
- More columns by J. Patrick Coolican
Imagine if the guy who owned the house next door tore it down and started building a cool new palace. Hard to imagine these days, but try to conjure it up. Then imagine that a third of the way into construction, he stopped building, leaving a half-finished shell for you to see from your window.
This is exactly what’s happened here, except instead of a property owner who couldn’t finish a house, we’ve seen companies stop their large commercial projects, leaving behind eyesores that have especially marred certain sections of our most important commercial boulevard, the Las Vegas Strip.
I suspect that if this happened to you, you’d have words with the neighbor and then visit City Hall. To a significant degree, however, this commercial blight has gone unremarked upon.
I can understand a certain reluctance to take action in the years immediately following the 2008 financial crisis, when we were all hoping our companies would stay afloat and were more than willing to give them whatever leeway they required to survive.
But it’s 2012, and it’s time government started forcing the property owners to — at the very least — improve the appearance of these properties, whose current status is driving down everyone else’s property values.
Which do I mean? There’s Echelon and Fontainebleau on the Strip and plenty of half-finished projects in the suburbs, at the Shops at Summerlin Centre, Manhattan West ... I could go on.
This has become a pet issue of Clark County Commissioner Chris Giunchigliani, who said she discovered the county doesn’t have an ordinance that would force property owners to do something to improve the appearance of half-finished properties. The county regulates the safety of dead work sites, which costs the owners fairly significant money, but that’s it.
“You wouldn’t do it in your neighborhood, but [commercial developers] do it on a regular basis,” she said.
Of the Strip, she said, “It’s the jewel, a scenic highway,” and, thus, its appearance should be protected.
Giunchigliani said she might have some leverage on beautification if the developers come in for time extensions or try to make changes to development agreements. She noted, with satisfaction, that Las Vegas Sands had wrapped an unfinished condo tower, which has improved its appearance; Riviera Boulevard, which had been closed, has re-opened; several unused construction cranes have come down; and an MGM Resorts-owned lot across from the Sahara has a new painted wooden fence in place of the old chain link. On the site of the demolished New Frontier, which was supposed to be a replica of the Plaza Hotel in New York City, Giunchigliani said the owners have put up wooden fencing and painted it and are responsible for graffiti cleanup.
“I’ve tried to do some things so it doesn’t look like a bombed-out area,” she said.
A spokesman for Boyd Gaming Corporation, which owns Echelon, said in an email that Boyd “remains committed to having a presence on the Las Vegas Strip. However, work at the Echelon site remains on hold at this time. We are presently developing concepts to enhance the appearance of the site and look forward to working with the county as these plans move forward.”
I look forward to Boyd’s announcement, and I wonder whether the company could have a contest, with artists competing to create a concept for the site. “The Gates” was a well-received conceptual art piece that graced New York City’s Central Park some years ago.
There’s a broader issue here than just the appearance of the Strip or other parts of the valley cursed with half-finished buildings that sit fallow. I’m speaking of the double standard by which corporations get to live by a different set of rules than us. If you declare bankruptcy or strategically default on your house, we’re led to believe there’s something shameful about it. But if a corporation does it, it’s sound strategy. If you left a concrete husk in your neighborhood, you’d face the social opprobrium of neighbors. When corporations do it, we throw up our hands and say, “Ah, what can you do?”
This column originally appeared in the Las Vegas Weekly, a sister publication of the Las Vegas Sun.
its strange that so many buildings that are unfinished are owned by people who are in the process of building multi billion dollar resorts and casinos in other parts of the world....so what happened.... they have money to build in other places why not finish these unfinished buildings or spend the money to tear them down....
One solution for either Echelon and Fontainebleau is for the state to buy one of these two properties at minimum cost, finish construction, and headquarter once legislatively passed, Nevada's lottery system.
Either property structure would provide more than adequate space to accommodate statewide administration and operation offices. The lower floors should be used as Las Vegas' central post to buy, process ticket numbers, and cash out to customers winning lottery tickets.
Besides the profit margin, this would provide a huge surge of people to the Las Vegas strip, thereby benefiting all businesses.
Secondly, the debate has been open to a large increase of Metro's police presence on the strip. The second property should be acquired and redeveloped into a huge Metro police substation with a new Clark County Fire Station. Also on this complex, should be a new extension of the Clark County Detention Center and adjoining it, a new State Mental Health facility. This complex could temporarily house those who on the strip would normally be taken into police or mental health custody, but are not because of institutional overcrowding.
Accomplish these two objectives, and we would have the Las Vegas strip back to the way it should be. Creative, industrious, productive, profitable, and safe for all.
Detention Center? Mental Health facility? On the strip? Seriously? The lottery headquarters sounds like a winner, but Big Gaming has quashed numerous attempts to get a state lottery here. I don't see them caving on that issue. These buildings should either be completed, "wrapped" or otherwise upgraded, or torn down.
Collican, had you taken a drive down Wilshire Boulevard in LA between Beverly Hills and Westwood, you would have seen lots of these derelict corpses of high-rise buildings. Where are they now? They are still there, but the Economy recovered and, eventually, the market for high-rises recovered, they got completed and sold at a profit.
The lottery system does not need an unfinished 3 billion dollar hotel for...what again? Offices? LOL.
They need 10 offices, a conference room and a few cubicles and you propose they take Fountainbleu or Echelon? Most ridiculous argument for an unfinished resort I've ever heard.
Vegas will do nothing about these eyesores. Worse than Fountainbleu or Echelon is the eyesore Manhattan West project and the steel structure mall next to Red Rock resort.
One of the two properties should be completed as a new homeless shelter. If Oblamer gets relected, we will definitely be needing the space...
The city should condemn the building as an eysore and unsafe and seize the property. Tear ithe unsafe structure down and build something beneficial to the citizens of Las Vegas. An appropriate addition to Las vegas could and should be a WATER PARK !
""Secondly, the debate has been open to a large increase of Metro's police presence on the strip. The second property should be acquired and redeveloped into a huge Metro police substation with a new Clark County Fire Station. Also on this complex, should be a new extension of the Clark County Detention Center and adjoining it, a new State Mental Health facility. This complex could temporarily house those who on the strip would normally be taken into police or mental health custody, but are not because of institutional overcrowding.""
--------------------------
A jail in the middle of tourist Las Vegas Boulevard!!!???? Mental health facility!!!??? I'm glad you're not on the planning commission.
This post is off the rails.
Why not make one of these unfinished buildings into serving the more eclectic, free-spirited, adventurous travelers into a HOSTEL??? Such places exist throughout the country and world, and most certainly would get the business!
Offering an up-scale HOSTEL will diversify the Strip even more, add some exciting people to the mix of visitors, and add more culture. It could be advertised as an up-scale traveler option. The big CASINO/RESORT owners would have nothing to fear, as they aren't getting these kind of people through their doors and staying as it is. So business is NOT being taken away from them, it would NOT compete against them. Travelers who faithfully use HOSTELS simply enjoy their choice and way of going.
Another use would be to offer single bed sleep capsules as they do in Japan and other countries. This would provide, again, a diverfied service, that is well used in other places.
As one commenter, Camille Pagnotta offered, "It's strange that so many buildings that are unfinished are owned by people who are in the process of building multi billion dollar resorts and casinos in other parts of the world....so what happened.... they have money to build in other places why not finish these unfinished buildings or spend the money to tear them down...." The citizens and residents of Las Vegas are bearing the brunt of establishing and expanding the casino/resort industry, and they virtually get abandoned in their time of need by the owners/corporations of these casino/resorts.
There is little to no loyalty to the community by these casino/corporate owners. They get every cent that they can and then turn their backs to the locals who support them (via paying taxes, patronizing their establishments, and kind volunteer work). Real neighborly, isn't it?
Blessings and Peace,
Star
If the Strip is "A jewel, a scenic highway" then the definition of "scenic highway" has recently changed.
@Star
Who do you propose to fund this hostel project? Tax dollars?
The casinos are bleeding cash when they are charging $70-$100 per night. Who's going to subsidize hostel rates on the Strip? Besides that, hostels are notorious for bringing in more undesirables and they cater to adventure travelers more so then leisure travelers. It would never work.
@souper
You cant "condemn" a building for being an eyesore. There is also no evidence that these sites are unsafe. A judge would laugh at you.
These ideas are ridiculous.
You have 2 options. Either the economy improves and the project gets built or they are torn down and remain empty lots. Considering the gaming industry has more clout in this town than..well, anyone, these projects will remain as is. Any other "solutions" are FantasyLand.
Chris Giunchigliani - Don't talk about what you can't do. Come up with legislation enacting what you can do. Legislation that will enact heavy fines to these developers to the point where it will no longer be economically viable NOT to tear them down or to finish them. Then and only then will you get their attention, and the Boyd's of the world will do something about their corporate blight.
If fines work for the little guy, they will work for the big guy too. You just have to make them large enough so they can no longer ignore you.
I honestly do not think I have read more stupid comments about anything in my life than this article produced. Do you people not follow the the quarterly loss information on the newest properties that have opened? Does the writer of this original article NOT drive neighborhoods and see...there are many instances of BK'd homes, not finished, many condo projects not finished? I think you need to stop trying to take shots at things you obviously have no
education about.
How about a true, farmer's market? A solar array to power garden equipment for organic produce? The current 'farmer's markets' are all products from Oregan, Washington and central California, so "fresh" isn't necessarily true. Something that shows tourists that we are not just a gaming mecca, sin city, or some other trivial label. How much would it cost to have that half-finished crap torn down, by the owners, and replaced with dirt, seed, a watering source, some shade, a path/s, a couple of benches and a sign touting how wonderful and 'normal' Las Vegas can be??? Yea, right...in my dreams....
As the fences are erected to divide dreams from reality, the dictators of image control seek more regulations, rules, fines and fees to employ upon their victims?
Perhaps the bitter-pill you're government has created is aptly deserved?
Welcome to the ghetto.
: {
Where is the historical perspective? The Sands Casino tower took five years to complete. The Landmark Casino took eight years.
Let the owners figure it out, or buy the properties and finish them!
It looks like Carl Icahn is de-constructing Fountainbleau one blue panel at a time. The crane is still there on top of the structure. But every time I pass by, the view from Sahara or from Paradise sure looks like those blue panels are becoming fewer and fewer. What does the Icahn organization have to say about their plans? Are they simply going to take it down and sell the materials to third world countries? They already sold some of furnishings and fixtures to Primm for pennies on the dollar.
Icahn bought the thing for pennies on the dollar. The last reports I heard was they were considering tearing it down and using the land for some other commercial development. The longer it sits, the closer to "dated" design it becomes. Traveler needs, desires, wants are changing yearly....The Fountainbleu runs the risk of being antiquated long before its even completed.
The permits on these structures most likely will expire. If the projects aren't completed and the owners aren't actively working on them, require them to demo the eyesores. If they don't or refuse, take their other properties.
What needs to happen is the real power brokers in this town--the Steve Wynns and the Sheldon Aldelson types, not the politicians who serve them--need to start raising a bigger stink about this.
I stayed in a 30th floor room facing west at the Encore last year and the view consisted of a vacant lot (the Plaza) and a semi-developed mass of steel and construction equipment (the Echelon). We tried to get a room on the other side of the hotel to look at the golf course and the eastern part of the valley but those rooms weren't available at the time. One would never think in a million yeas that the views facing off the Strip would be more desirable than the ones facing onto the Strip. Putting a 6-7 foot wall up only blocks the view of the pedestrians walking by, but what about the thousands of people who have that "view" from their hotel rooms? Not exactly the Las Vegas that Mr. Wynn and Mr. Aldelson want to be selling to their guests.
There isn't one easy answer--as we can all see by these ridiculous comments above that have zero chance of happening. A lottery office? A hostel? Require the companies to finish? No offense to the nice folks who made them, but they are all just outlandish.
San Francisco had a good idea, but I'm not exactly sure it would work out here. At least this would be a step in the right direction:
http://www.sfgate.com/cgi-bin/article.cg...
A friend who is tied into the development community tol me that it was proposed at one point to wrap these semi-constructed buildings in a material that could then contain large advertisements (similar to what is covering all the hotels now), but due to codes and some other reasons I'm not aware of, it didn't ever happen. I'm not sure that is a perfect solution, but its better than staring at rusting steel.
Very simple solotion:
Throw Obama out, the economy will improve, and these projects will be completed.
So, because it took the Sands five years to finish, we're just going to do nothing about the eyesores that have been there for four (?). Also, I never suggested we force them to complete the projects. Las Vegas Sands spent $1 million to wrap its unfinished condo tower, which has improved the quality of the structure immensely. Why can't other companies do the same?
Sheldon Aldelson has his own 1/10th finished condo tower sitting unfinished on the strip so he isn't one to talk to anybody, of course as soon as he saw his stock rise he restarted all his projects in macau and singapore and left the vegas one a stump
It's time for the State and County to buy up the Echelon property and turn it into a magnificent Central Park for the city of Las Vegas. We need a beautiful park on the Strip for citizens and tourists to escape the confines of the Casinos. What better way to add to our tourism and help decrease the amount of unnecessary hotel space. This can all be financed by putting a tax on the Casinos after all it will increase their occupancy in the long term by preventing further hotel space.
Mr. Coolican,
I wondered the same thing. The "person who knows things" that I asked said that the half-developed casinos were only willing to do this if they could sell the wrapped building space for billboard-like advertisements. Since the County does not allow advertisement of merchandise "not available onsite" or some other similar mumbo jumbo--and there is nothing onsite at all--they were told they cannot do this.
Of course, this brings up the point that you see things advertised all over the Strip, the convention center, the airport, and many other places that aren't available onsite, and this "person who knows things" just shrugged and said that either the government turns a blind eye or is just selective in their enforcement. This "person who knows things" is a local attorney and said that many ad companies just put the signs up illegally and 9 times out of 10 can do it without repercussion. The 1 time in 10 they DO get caught, they just remove the sign and thats the end of it.
I work for Boyd Gaming. And I'm as disappointed as the next guy about the current status of Echelon Place. But I am thankful that the tough decision to delay this project probably saved thousands of our jobs. The difference between putting capital into the shrinking demand on the strip or investing in Boyd's local properties is what has kept our company healthy during this financial crisis. Remember, Boyd made a serious play for Stations Casinos. I'm a layman, I don't know the ins and outs of business. Maybe Boyd could have bought the Fountaibleau for pennys on the dollar, slappped a Stardust sign on the top and called it a day. Whatever. But I will say this. Better times will be here. And when they come, Echelon will be a reminder to locals not only of this sad past, but how we have picked ourselves up, dusted ourselves off, lessons learned, and brought ourselves back even better than before. Think foward.
I just miss the Stardust.........:(
I don't think Las Vegas Casinos will ever come back to the glory days of the 2000-2006 years. THAT success was built on MASSIVE home equity borrowing (the home became an ATM). Those days are OVER!
You had people making 15k/ year gambling regularly at $25 tables with home equity cash. That is over, gone, days never to return.
If these projects ever get built they will have to be scaled down. No more 3 inch marble on every floor. No more $65k chandeliers. Why do you think Phil Ruffin shelved his idea for a new casino at 1.8 billion and decided to buy TI for 700 million instead?....the cost structure/mortgage cannot be sustained on the new gambler (penny slots, 50 cent roulette and $5 table games). It's simple mathematics. The incoming $$ cannot sustain the outgoing $$ (mortgage, employees, security, etc.) Those are the facts.
I see a lot of criticisms here in this forum without their take on solutions to these unfinished corporate eye sores. Then, where there are proposals, I see on commentaries, "bandage coverings" of these half-finished structures. "Parks" for a desert climate of predominately extreme temperatures, and even Japanese styled "capsule hotels" have been recommended to take the place of these unfinished structures. And my suggestion for a basically separate, Las Vegas strip, "Community Response / Safety Center" is off the rail?
Brilliant replies. On one hand, you people say how important the strip is to our economy. That, it is our "economic engine" and must be protected. So, a Las Vegas strip "Community Response / Safety Center" is not imperative? The homeless, the mentally ill, the criminals and every other possible "eye sore" to tourism that infests the Las Vegas strip is just a figment of my imagination?. So, those in opposition to this proposal think its just better to leave the litter and rubbish around the trash bin and never clean it out? In other words, having these people remain and continue to run amuck on our so-called precious Las Vegas strip is better than having these people secured away in a strategic facility that is appropriate to the safe and fundamental growth of our most important financial interest? Fascinating, just real absorbing. If I sat in the chair of a casino owner, I too, would dump Las Vegas for other destinations.
Echelon is the Stardust redux, which sat as a concrete shell, empty and unfinished in the middle fifties for many months if not for a couple of years.
It's history repeating itself, and so it goes.
@BChap
If what you are proposing is a central location within the tourist zone to house, incarcerate criminals and other degenerates...then yes, you are off the rails. Why would you want those people near the Las Vegas Strip?...logistics? there's a reason why prisons are remote. We don't want these people among us, plus it's a safety issue. What happens when they make bail? What you propose would dump these people right back where they are not wanted..among tourists.
These properties are not owned by the taxpayer. What do you suggest, the city confiscate privately owned property from Carl Icahn?
The costs associated with finishing these projects to any occupiable space is massive. I can build a detention facility out in the desert, transport and house these people for 1/10th the cost of providing a bed on Las Vegas strip real estate..as you suggest.
Housing criminals in the Fountainbleu?
You need your rest.
To: TomD1228 in the "All Comments" section. When you learn the elementary differences between detention and incarceration I'll give your personal insults towards me some merit and consideration. Until then, that arrow of futility is pointed right back at you, Sir!!!
Denro, you forget that fifty years ago Las Vegas was the only place to gamble. Now they have competition in several states. Maybe another fifty years and everyone will be burned out on gambling and all of them will close except Las Vegas,then they can finish Echelon and Fontainebleau.
Did Steve Wynn ask you to write this article??? I know he is fuming about the horrendous wasteland view across the street from WynnCore's high roller suites.
To my fellow bloggers;
Make it into something else, re-vamp, remodel, restore. I can not believe somebody in this community, with all the talent and know how here, cannot think of something that would improve this situation by now. What are we paying our civic leaders for? Just an old cop reflecting,
Gordon Martines.....CURRE.ORG
p.s. you are going to be needing a new county jail soon.
I don't think Las Vegas is the right place for those who primarily focus on the negative things around them, and spend too much time wringing their hands and wishing someone would do something about everything.
Condemn the properties, take by Imminent Domain, and work a deal with whomever promises to IMMEDIATELY resume construction or destruction of said properties...
As for the unfinished 'mall' property adjacent to Station's Red Rock Casino in Summerlin...
SAME DEAL.
I don't understand why Coolican would support covering up the unfinished buildings because they're an "eyesore", yet he supports keeping the freaks and beggars on the Strip which are an even worse "eyesore" and some are criminals...what a hypocrite!
@dipstick
Exactly. Shel and Steve know this well. Home equity destruction has killed off the gambler that they need here to cover their costs.
Most good real estate developers rely on basic math to know if a project is viable. You cannot build these marble Meccas on the gambler of today. Cosmopolitan is finding that out. They will most likely continue to bleed cash.
All these stalled projects, in hindsight should have had a "complete or tear down" clause in the permit. This isn't a house project. These "ruins" have become real eyesores on the strip and elsewhere.
Hmmm.. I know of plenty of Finished eyesores that look much worse then these unfinished places.
Okay, I visited Vegas last year and while these emoty shells are a bit of an eyesore they detracted nothing from my visit. What I find to be sad is the people referring to other human beings as eyesores. It's rather disgusting and I assure you the homeless and mentally handicapped are not as sickening or pitiful as yourselves.
It's time to make the city the brothel capital of the world and legalize prostitution within the city limits. Turn them into cathouses with quality women and watch the money roll in. Let's stop being hypocritical about it- legalize it all including most drugs, and start making money that would pay for healthcare and create new jobs. People will never stop spending money on things and services that make them feel good. It didn't work during Prohibition and drug enforcement is a waste of time now, for sure.