Tilman Fertitta’s Fertitta Entertainment Making Progress on Las Vegas Strip Casino Hotel
Latest Updates on the Project
It has been approximately one year since Fertitta Entertainment, led by billionaire Tilman Fertitta, gained approval to construct a new casino hotel on the renowned Las Vegas Strip. Progress on the project has been slow, but recent developments indicate a change is imminent.
New records from Clark County have revealed that Fertitta’s company has submitted various permit applications related to a 6.2-acre plot of land situated at Las Vegas Boulevard and Harmon Avenue. The permit applications include plans for a parking garage and pickleball court, which are currently under review by the county. In 2022, Fertitta acquired the land for $270 million.
In October of last year, the Clark County Commission granted approval for Fertitta’s vision to develop a new gaming establishment directly opposite MGM Resorts’ CityCenter. Over the past year, some businesses on the site have vacated, while a few still remain.
A spokesperson for Fertitta Entertainment based in Houston informed the Las Vegas Review-Journal that there are no updates to share at this time.
Delay in Fertitta’s Strip Casino Project Expected
The slow progress on Fertitta’s initial venture along the Strip is not surprising. The company expressed caution earlier this year, opting to monitor the broader economic climate before making significant investments in the Las Vegas project.
This cautious approach proved prudent, as while the US economy may not officially be in a recession, indications suggest that this is not the ideal time to embark on large-scale commercial real estate projects. High inflation has driven up the prices of raw materials, and there is a scarcity of available labor.
In addition, corporate borrowers are facing elevated financing costs due to the highest interest rates seen in the past 20 years. Some creditors are currently hesitant to lend for commercial real estate purposes. In light of these factors, it appears that Fertitta Entertainment is making a wise decision by taking a slow approach with the Strip project.
If the company’s Strip venue becomes a reality, it will be located in close proximity to upscale establishments such as Aria, Paris, and Vdara. Thus, the company must ensure that its casino meets the high standards set by these neighboring venues.
Other News about Fertitta
In addition to the Strip project, Tilman Fertitta himself already holds a 6.1% stake in Wynn Resorts (NASDAQ: WYNN). No recent filings with the Securities and Exchange Commission (SEC) have indicated any changes to Fertitta’s stake in the company.
Fertitta Entertainment has also demonstrated its commitment to Nevada through its recent acquisition of the Hard Rock Hotel & Casino Lake Tahoe, which has been rebranded as a Golden Nugget casino. This new addition joins the existing Golden Nugget casinos in downtown Las Vegas and Laughlin, making it the third Golden Nugget property in Nevada.
Outside of Nevada, the Golden Nugget brand also has casinos located in Colorado, Danville (Illinois), Lake Charles (Louisiana), Atlantic City (New Jersey), and Biloxi (Mississippi).