Formula One buying land near Strip for $240M
After unveiling plans for a dramatic race on the Strip, the company behind Formula One says it’s also buying property near Las Vegas’ casino corridor for a hefty price.
After unveiling plans for a dramatic race on the Strip, the company behind Formula One says it’s also buying property near Las Vegas’ famed casino corridor for a hefty price.
Greg Maffei, president and CEO of F1 parent Liberty Media Corp., said in an earnings call Friday that Liberty entered an agreement to acquire 39 acres east of the Strip for $240 million.
He expects the sale to close this quarter and said the company was buying the site in part “to lock in circuit design.”
During the call, company officials did not say which property they are buying in Las Vegas, nor did they say why they opted to purchase the site as opposed to leasing it ahead of next year’s race.
They also did not provide any long-term plans for the property, including, for instance, whether they are considering building a year-round racetrack for fans or some other kind of tourist-focused experience.
“We don’t have any other financial details yet to release on what else will be spent on that site,” Maffei told analysts.
Courtnee Chun, chief portfolio officer at Liberty Media, told the Review-Journal in an email Friday that the company is acquiring the site in part to “create capacity” for hospitality and race-support venues.
“We are still reviewing design options and can’t comment further on development plans at this time,” she said.
However, Chun did confirm the property Liberty is buying is at the northeast corner of Harmon Avenue and Koval Lane just east of the Strip.
Real estate firm 3D Investments owns that spread, having bought it in 2019 as part of a nearly 60-acre, $130 million acquisition there.
The race is expected to start on 3D’s property at Harmon and Koval, according to a map of the route that F1 previously released.
Dan Appello, director of acquisitions at 3D, said in an email Friday that he is “unable to comment at this time, but will be happy to update you as soon as I can.”
Formula One announced in late March that it plans to hold a 50-lap Grand Prix in Las Vegas in November 2023. The 14-turn track will run for 3.8 miles, with top speeds expected to reach around 212 mph, the racing league said.
“This will be a Saturday night race down the iconic Strip,” F1 President and CEO Stefano Domenicali said in the earnings call Friday. “We cannot think of a more perfect marriage of speed and glamour.”
Contact Eli Segall at email@example.com or 702-383-0342. Follow @eli_segall on Twitter.