Harmon Hotel To Be Demolished

A ruling was made last week that will likely speed up the demolition of the $275 million Harmon hotel that is located at the City Center on the Las Vegas Strip. Industry observers are now wondering what will take its place in the City Center.

The $8.5 billion City Center resort complex is half owned and managed by MGM Resorts International. MGM has not provided any details or clues as to what the future site holds. With such a prime location, being located on the Las Vegas Strip, there have been many guesses as to what might go there.

It has more or less come down to two options: either a hotel-condominium project or a fully loaded entertainment complex that would include bars and restaurants.

Union Gaming Group analyst, Bill Lerner said “MGM Resorts will likely view the site as prime real estate,” adding on, “If one looks at the strength of food and beverage at the Cosmopolitan next door, it is a great proxy for the value of new development there.”

Lerner also said “I’m not sure exactly what they would build, but something that can pull volume into CityCenter, if not produce demand standalone, is doable in that locale. It is worth a significant amount of value in our view.”

The Harmon generates no revenue for the City Center, because of its construction defects. Once something is actually put there, it’ll increases the revenue coming in to the City Center.

Leave a Reply