MORE OF THE SAME NOT ALWAYS BEST FOR THE AREA

Implications:  Many of the top investment firms see Las Vegas as a golden opportunity to create new business. Since this is certainly one of the fastest growing resort areas in the world, one would have to feel more of the same should benefit the city and it's residents -  not to mention the project owners. Is there a possibility of to many rooms on the strip for the Las Vegas to maintain the level of room count they have created over the years? Will there be a possible drop in the 92% plus average fill capacity of major resorts - not at this writing.........

Analysis: The leaning of this article is not to dissuade any new construction - it's certainly not aimed at any disillusion of investment possibilities. What stands out the most is the construction of the condo market in an area that may already have it's fill of high rise housing that is out of reach of the mainstream buyer. The financial burden of new construction costs leave no doubt that it's almost impossible to create an atmosphere that would allow the average family to think about this type of living.  The way Las Vegas is headed, there will a great need in the future for high rise living - not for any other reason that at some point our lack of water supply will put a damper on building of oversized communities that now fill the Clark County boundaries. What's the solution??? - take a small plot of land, about 5 acres and build two or three high rise condos on it. Saves space, and the water is more easily supplied to a small plot than to 75 or 100 acres need for a reasonable size new community.

The solution to help defray the cost of this new construction is to design multipurpose properties. The combing of housing, hotel/casino,  food & beverage and entertainment makes some sense. The building of MGM's Project City Center, Boyds Echelon Place and ultimately Harrah's new project on 350 acres on the strip have the same concept only in a bit diversified style. It will not be easy to recapture investment, but the move is on to create new style resorts and housing that will have a resounding affect on the tourist trade and housing markets.

The inclusion of the new Maxim Resort and Condo development is another bid to shore up the strip area. The problem arises that are we getting to a saturation point of high end condo building on and near the strip? It's hardly seems so as MGM has presold out of the majority of their condos now under construction as part of their City Center project. That's a strong indication that there are a lot of dollars wanting to be invested by buyers and investment seekers in the condo community.

It certainly remains to be seen if any builders or investment types are willing and able to take on the the standard Las Vegas housing market with high rise buildings. I am not speaking about strip locations - there are plenty of good areas to be considered - many people in the $300,000 to $700,000 are waiting for the chance to invest in the high rise community - it seems as though the builders don't see the possibilities of this type of investment into local housing. That is a shame, because it's the way of our future in the Las Vegas market.............

Hope they see the light-