Dive Brief:
- Steven Witkoff, the New York City-based developer of The Drew Las Vegas, will delay the $3.1 billion project completion target by almost two years, to 2022, while he solidifies the final construction budget, according to Bloomberg.
- New York architecture firm Diller Scofidio + Renfro will lead design efforts. Witkoff told Bloomberg that The Drew and its many non-gambling features will cater to “the new” Las Vegas customer, who visits the city for dining, nightlife and other Sin City experiences.
- The Drew has arranged for financing through JPMorgan Chase & Co. and Deutsche Bank but has engaged the latter and Goldman Sachs Group to raise more money for the project. A previous developer sunk $2.8 billion into the property — then known as the Fontainebleau — before it went bankrupt in 2009.
Dive Insight:
Witkoff first announced in early 2018 what he had in mind for The Drew, which he purchased in August 2017. At the time, he said the resort complex would feature a casino, entertainment and retail space, an 8-acre pool deck and 500,000 square feet of meeting space, but he revealed to Bloomberg that the project would also include 32 elevators in the lobby next to the front desk and a circular design for most of the guests' amenities.
The extra 600,000 annual visitors that the expanded Las Vegas Convention Center is expected to bring to the city will also be a boon for The Drew and other new hotels. That project is scheduled for completion in 2020.
Appealing to families and those looking to steer clear of the city’s casinos is what Wynn Resorts had in mind when it announced its $1.5 billion Paradise Park project next to Wynn's existing Las Vegas property. The development was to include a 20-acre lagoon with a white-sand beachfront, boardwalk, restaurants, convention space and a few thousand hotel rooms but Wynn scuttled the project in November 2018. Instead, the company will continue to build the convention space and redevelop the property’s existing golf course.
Sure to be a draw for those seeking entertainment away from the gaming tables is the MSG Sphere, a collaboration between The Madison Square Garden Co. (MSG) and the Las Vegas Sands Corp. The 360-foot-tall spherical arena will have 18,000 seats and will feature a programmable exterior with more than 36 miles of LED lights. The venue will also boast the largest high-definition screen in the world. Located behind the Venetian and Palazzo hotels, the MSG Sphere is set to open in 2021.
