Building Nevada Briefs - April 2003

Building Nevada Briefs

Martin-Harris Renovates Federal Building

Martin-Harris Construction is continuing its work on an $18 million renovation of the Foley Federal Building in downtown Las Vegas. Martin-Harris crews are constructing completely new interiors for the 202,668-square-foot facility, which was built in the 1960s. In addition to new spaces for tenants, the contract calls for reinforcing the main frame of the building to make it more bomb-resistant. The façade will also be redone to make the building’s appearance more compatible with the new Lloyd George U.S. Courthouse across the street. Completion of the renovation project, which began in October 2002, is scheduled for the first quarter of 2004. The remodeled building will house federal offices and courtrooms.

New Luxury High Rise Development Planned

Texas developer Randall Davis recently announced plans to build an 18-story high rise condominium near the Las Vegas Strip featuring 65 luxury lofts and flats. Groundbreaking for Metropolis is scheduled for September 2003, with completion in the last quarter of 2004. Spencer Partnership Architects designed the exterior of the 170,000-square-foot project in 1920s-era Art Deco style. Cost for the project is estimated at $35 million to $40 million. Units will be priced from $400,000 to $1.7 million, which includes finished interiors with a range of flooring, cabinetry and lighting selections. Amenities for residents will include a fitness center, swimming pool, private wine room and concierge service. The development is located on Desert Inn Road near Steve Wynn’s Le Reve project, and most units at the high rise will have views of the Le Reve golf course.

Forum Shops Sign Lease for Expansion

Simon Property Group, Inc. and Park Place Entertainment Corporation, parent company of Caesars Palace, recently announced the two parties have executed a ground lease for property fronting Las Vegas Boulevard, which will allow Simon Property Group to begin construction on the expansion of The Forum Shops at Caesars. The 175,000-square-foot, three-level expansion will extend from the existing retail, dining and entertainment mall to the street. The addition will make room for more upscale specialty retail tenants and several new restaurants. The classic Roman architecture of the expansion, combined with a grand pedestrian plaza on Las Vegas Boulevard, will create a signature entrance to The Forum Shops. Construction on the expansion began immediately upon the lease signing, with completion scheduled for the fall of 2004. The Forum Shops at Caesars opened in May, 1992 with 283,000 square feet and a second phase, which increased its size to 500,000 square feet, was completed in August, 1997. In 2002 alone, the center welcomed 18 million visitors.

Construction Financing Announced for Fleur de Lis

KeyBank Real Estate Capital has financed a $15 million revolving construction loan for Fleur de Lis Luxury Townhomes, developed by Tanamera Resort Partners. The loan covers 126 units in Phase I and allows for phased construction of up to 75 units at a time, with additional units to be started as sales close. Fleur de Lis is a 40-acre, master-planned townhome community located in South Reno. More than 100 of the 136 townhomes in Phase I have already been sold. The Fleur de Lis clubhouse and first models are expected to open in May. Completion of Phase I is set for the fourth quarter 2003, and Phase II is expected to come on the market in summer 2003. The development features only eight homes per acre, compared to the typical density of 14 to 18 units found in most townhome developments. Two- or three-bedroom units range from 1,343 square feet to 2,655 square feet. The Las Vegas office of KeyBank Real Estate Capital has funded more than $600 million in new construction, interim, equity and permanent commercial mortgage loan commitments to Nevada and California developers over the last two years.