63°F
weather icon Partly Cloudy

Developers to build on sites of failed Las Vegas projects

When a fitness chain bought Las Vegas’ Sullivan Square site last month, it put the giant hole in the ground on the path to development.

But the land wasn’t the only bubble-era crater left behind in the valley after the market crashed. It wasn’t even the only one in the neighborhood.

A mile or so away, the former Spanish View Tower condo site also ended up a massive hole in the southwest valley. It was supposed to have high-rises, but by the summer of 2016 it merely had some abandoned construction trailers and, down in the 40- to 50-foot pit, a partially built garage that was streaked with rust and covered with graffiti.

Both projects were part of the mid-2000s high-rise craze dubbed the “Manhattanization” of Las Vegas. Most of the towering proposals never left the drawing board, but as far as I can tell, these neighboring failures were the only ones left as gaping reminders of Las Vegas’ wild real estate boom and devastating crash.

Today, the sites are in a fast-growing part of town and expected to be developed, though it’s unclear when the projects would open.

Minnesota-based Life Time, which bought the Sullivan Square site, has not announced its plans for the property at the southeast corner of Durango Drive and Sunset Road, across from Ikea.

Listing broker Aman Lal, founder of Elephant Partners, has said Life Time is looking to build a gym, apartments and offices.

Meanwhile, Clark County commissioners approved plans two years ago for an apartment complex at the former Spanish View Tower site, off Buffalo Drive just south of the 215 Beltway.

The once-abandoned garage has been demolished, and heavy equipment is on site. But the property was quiet Friday morning — there were no signs of workers — and I didn’t see any new buildings taking shape.

Tru Development Co. said on its website that its project there, KAKTUSlife @the curve, will feature 614 residential units and 2,500 square feet of retail space.

Efforts to get an update on the project from Tru founder Tim Deters were unsuccessful.

Massive real estate projects were all too common in Las Vegas during the bubble days, and in the end, it was all too common for them to flame out.

Sullivan Square was supposed to have 1,380 residential units, 45,000 square feet of retail space and 272,000 square feet of offices. But lawsuits started flying, and the multi-tower proposal by Irish and Las Vegas developers was never built.

Spanish View Tower was slated to feature three 18-story condo towers and be “the foundation for high-rise living” in the Western U.S., the developer said in 2006. But creditors filed court papers the next year to push the project into bankruptcy, claiming they were owed more than $36 million combined.

They alleged in court papers the developer made payments through the project’s holding company for his 7,200-square-foot house in Las Vegas, luxury cars and a captain for his 55-foot boat called Squirt the Dirt in Tampa, Florida.

Las Vegas is getting plenty of construction nowadays, though no one has built a residential high-rise for several years. They are expensive to build, and developers can’t fetch high-enough rents or sales prices to make a tower work financially, industry pros have said.

Plus, you can’t blame them for not risking it on a high-rise. You only have to drive to the suburbs to see what can happen.

Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342. Follow @eli_segall on Twitter.

Don't miss the big stories. Like us on Facebook.
Business Videos
Boring Company could provide a solution to parking problems - VIDEO
LVCVA President and CEO Steve Hill believes a potential solution for parking problems is the Boring Company’s $52.5 million people-mover -- a system that could eventually be expanded citywide connecting resorts and even McCarran International Airport to the Convention Center.
The Blackstone Group has partnered with MGM Resorts to acquire more properties - VIDEO
A few months after the Blackstone Group bought the Bellagio for more than $4 billion, it has partnered with MGM Resorts on a deal to acquire two other Las Vegas Strip properties. (Michael Quine/Las Vegas Review-Journal)
CES Young Innovator Award winner explains ReDawn - VIDEO
Sofia Ongele explains ReDawn, which uses a Chatbot named Dawn to help users find resources after a sexual assault. (Las Vegas Review-Journal)
CES 2020: MedWand ties for title of Last Gadget Standing - VIDEO
Dr. Samir Qamar of Las Vegas presents MedWand, a medical device that allows physicians to examine patients remotely anywhere in the world, at CES 2020. (Elizabeth Page Brumley /Las Vegas Review-Journal) @elipagephoto
CES Flying Taxis
Bell Nexus EX4 and Hyundai SA-1 flying taxi prototypes from CES 2020. (Mick Akers/Las Vegas Review-Journal)
CES 2020 attendees rides in autonomous BMWs - VIDEO
BMW is pitching its reconfigured i3 Urban Suite, which holds a single passenger on a lounge-style seat, as the possible future of chauffeured rides at CES 2020. (Mick Akers/Las Vegas Review-Journal)
CES 2020: Small appliances unveiled in Las Vegas - VIDEO
The small appliances on show at Sands Expo at CES 2020 in Las Vegas include a Keurig cocktail maker, autonomous cooking system, nitrogen coffee ampules and more. (Heidi Knapp Rinella/Las Vegas Review-Journal)
CES 2020: The scooter that will remind you of Wall-E - VIDEO
Segway unveiled the egg-shaped S-Pod Scooter at CES 2020 that’s a seated version of their original scooter that can reach 24mph. (Rachel Aston/Las Vegas Review-Journal)
CES 2020: Before the floor opens at Sands Expo on Day One - VIDEO
CES 2020 opened its doors at 10 a.m. Tuesday, welcoming more than 170,000 attendees to the annual electronics show. (Elizabeth Brumley/Las Vegas Review-Journal)
CES 2020: A suitcase that follows you, video games to heal you at Pepcom's Digital Experience - VIDEO
Get a glance at Pepcom’s Digital Experience! a showcase of products that will be at this week’s CES convention. (Rachel Aston/Las Vegas Review-Journal)
CES 2020: Impossible Foods Inc. Debuts Impossible Pork - VIDEO
At a pre-CES news conference at Mandalay Bay’s Kumi restaurant Monday night, a company representative announced that the participants were the “first people in the world” to try the new plant-based product, which it provided as samples in the form of Impossible Pork banh mi, char siu buns, dan dan noodles, pork katsu, pork shumai and sweet-sour-and-numbing meatballs.
CES 2020: Impossible Foods debuts Impossible Pork in Las Vegas - VIDEO
Before a packed press conference at Mandalay Bay in Las Vegas, Impossible Foods executives introduced Impossible Pork, its newest product. (Heidi Knapp Rinella/Las Vegas Review-Journal)
CES 2020: The Future of Transportation - VIDEO
Many automotive companies at CES unveil their plans for the future of transportation including safer driverless cars, safety features and a partnership between Uber and Hyundai. (Las Vegas Review-Journal)
CES 2020: What you've missed so far - VIDEO
Catch up on the tech and events presented at CES 2020. (James Schaeffer/Las Vegas Review-Journal)
CES 2020: Samsung debuts 8k TV, MicroLED TV - VIDEO
2020 is set to be a major year for 8k screens, according to Samsung executives. (James Schaeffer/Las Vegas Review-Journal)
Las Vegas resorts welcome dogs to stay
Las Vegas properties are welcoming dogs more than ever. MGM Resorts International announced a new dog-friendly program across all of its Las Vegas properties in December. (K.M. Cannon/Las Vegas Review-Journal) @KMCannonPhoto
Musk 'hopeful' for 2020 completion of underground Las Vegas project - VIDEO
Elon Musk tweeted Friday night that The Boring Company’s underground tunnel project in Las Vegas will be “hopefully fully operational” within the next year. (James Schaeffer / Las Vegas Review-Journal)
World Market Center celebrates topping-off ceremony - VIDEO
Las Vegas elected officials including Councilman Cedric Crear attend topping-off ceremony for the Expo at World Market Center in Las Vegas.
MSG Sphere in Las Vegas will be the largest spherical building in the world - VIDEO
The Madison Square Garden Sphere at The Venetian has now been under construction for about one year and is expected to be completed in 2021. (Michael Quine/Las Vegas Review-Journal)
Aria still thriving after 10 years - VIDEO
The Aria opened on the heels of the Great Recession and managed to survive. It is now known for its art, environmental sustainability and poker. (Rachel Aston/Las Vegas Review-Journal)
Opening ceremony of the first Chick-fil-A restaurant inside a casino
Opening ceremony of the first Chick-fil-A restaurant inside a casino at the Golden Nugget on Monday, Dec. 2, 2019. (Bizuayehu Tesfaye/Las Vegas Review-Journal) @bizutesfaye
Fire damages 7 cars at Las Vegas airport parking garage - VIDEO
Firefighters on Saturday morning extinguished a car blaze that damaged six other vehicles in a parking garage at McCarran International Airport. (James Schaeffer / Las Vegas Review-Journal)
Vegas Changes Everything: Grandma - LVCVA ad
"Grandma" is a new television spot from the Las Vegas Convention and Visitors Authority prepared to entice visitors to come during the Thanksgiving and Christmas holidays. (Visit Las Vegas/YouTube)
Vegas Changes Everything: Chaos - LVCVA ad
"Chaos" is a new television spot from the Las Vegas Convention and Visitors Authority prepared to entice visitors to come during the Thanksgiving and Christmas holidays. (Visit Las Vegas/YouTube)
New allegations involved Steve, Elaine Wynn - VIDEO
The new allegations were presented Friday in a motion that included a 2018 affidavit, alleging former hairstylist Jorgen Nielsen tried to convince a friend to say Steve Wynn raped her and that she bore his son. The affidavit also included new allegations suggesting Elaine Wynn and Nielson orchestrated the assault scandal. (Renee Summerour/Las Vegas Review-Journal)
Fitness chain Life Time acquires former Sullivan Square site
Fitness chain Life Time has acquired the former Sullivan Square site in Las Vegas for $14 million. The southwest valley property, across the street from Ikea, is little more than a giant hole in the ground. (Bizuayehu Tesfaye/Las Vegas Review-Journal) @bizutesfaye
Fashion Outlets of Las Vegas in Primm outlet mall changing its name - VIDEO
Chad Dillow, co-owner of Step Right Up, is building his attraction at Prizm Outlets, which recently changed it name from Fashion Outlets of Las Vegas, in Primm. It will include 3D trick art, ax throwing, escape rooms and carnival-themed games. (K.M. Cannon/Las Vegas Review-Journal) @KMCannonPhoto
O.J. Simpson files lawsuit against The Cosmopolitan over TMZ story - VIDEO
A lawsuit filed Thursday alleges that The Cosmopolitan of Las Vegas defamed O.J. Simpson when hotel employees told TMZ he was kicked out of the casino “for belligerence” in November 2017. (James Schaeffer / Las Vegas Review-Journal)
Phil Maloof on selling his Palms Place penthouse.
Phil Maloof sold his 59th-floor penthouse at Palms Place. (Eli Segall/Las Vegas Review-Journal)
Bleutech announces Las Vegas land purchase deal
Bleutech Park Properties reached a purchase agreement for 210 acres at Las Vegas Boulevard and Cactus Avenue, project spokesman Tom Letizia announced Tuesday, Nov. 5, 2019 at a news conference at the M Resort. (Elizabeth Brumley/Las Vegas Review-Journal)
THE LATEST