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UNLV aims to get $1.25B for leasing ‘prime’ property near Strip

Updated April 30, 2024 - 5:53 pm

UNLV has proposed entering into a 99-year ground lease for 42 acres it owns near the Las Vegas Strip that could generate over $1 billion in revenue for the university.

The university has asked the Nevada Board of Regents to approve the lease with G2 Capital Development for 42 acres of undeveloped land located just north of the Harry Reid International Airport near the intersection of Tropicana Avenue and Koval Lane.

The lease agreement would allow G2 Capital Development to create a mixed-use project on the land, according to documents filed with the Board of Regents. No details on the development were included in the documents, and the developer also declined to comment on the proposed plans.

The 99-year lease would generate roughly $1.25 billion in revenue for UNLV over the 99 years, documents said, and that revenue would go to support UNLV’s “goals and initiatives.”

History of the 42 acres near the Strip

The 42 acres was acquired by UNLV, with the regents’ approval, in 2015 for $50 million. UNLV officials said at the time of the purchase that the land could potentially hold a campus village or stadium.

A UNLV spokesperson said the university spends about $3 million a year on debt services, security and maintenance on the land.

Plans are ‘currently in progress’

Though G2 Capital Development declined to comment on its plans, its website states the 42-acre site could be suited for hotel, casino and entertainment, but the plans for the mixed-use development are “currently in progress.”

The 99-year lease proposal was set to be considered at the Board of Regents meeting on April 19, but the item was never heard as the meeting was canceled last minute due to a power outage. It’s unclear when the proposal could go back before the board for consideration.

UNLV put out a formal request for proposals, or RFP, for the site in October 2022, closing it in December 2022, according to the Nevada Government eMarketplace website. The RFP said UNLV was interested in “maximizing” the revenue from a ground lease for the 42 acres, and G2 Capital Development’s proposal was picked as the “best and final offer,” the lease document said.

G2 Capital Development has worked with UNLV in the past on the yoU apartment complex, a 125-unit project near the university’s main campus, and a 3.4-acre office, retail and residential project on the site of the former Campus Village commercial complex.

Not everyone is a fan of the 99-year lease. Regent Patrick Boylan said he thinks the term of the lease is too long. Boylan also said he wasn’t familiar with the RFP being put out for the land or what G2 Capital Development has planned.

Boylan said the 42 acres is “prime” property due to its proximity to the Strip and wants any development on the site to benefit UNLV and its students beyond just increasing revenue for the university. Boylan said he hasn’t discussed the 99-year ground lease plan with the other regents but hopes to at their next meeting.

Contact Sean Hemmersmeier at shemmersmeier@reviewjournal.com. Follow @seanhemmers34 on X.

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