homepage home
subscribe to Southwest Contractor magazine subscribe
newsletters free e-newsletter
advertise
industry jobs industry jobs
Dodge Data & Analytics
Southwest Contractor Logo
Order Your RISK FREE Subscription
comment

Sahara Hotel Stalls Plans for Rehab, Will Close

Text size: A A

A stumbling economy has claimed another victim on the Las Vegas Strip. The two-tower, 1,720-room Sahara Hotel & Casino will close on May 16 amid funding woes that have temporarily stalled redevelopment plans.

Las Vegas hotel was a popular tourist and entertainment spot in the 1950s, but tough economics are forcing its closure.
Photo: Courtesy Sahara Hotel & Casino
Las Vegas hotel was a popular tourist and entertainment spot in the 1950s, but tough economics are forcing its closure.
----- Advertising -----

Los Angeles-based owner SBE Entertainment Group will shutter the 59-year-old resort on 17.5 acres because continued operation is “no longer economically viable,” a company statement said. The closure will likely affect the bankrupt 3.9-mile Las Vegas Monorail, which has a passenger station at the Sahara. SBE and San Francisco-based private equity firm Stockbridge Real Estate Group bought the 27-story hotel-casino for $331.8 million in March 2007, as the real estate boom concluded.

High unemployment, rising inflation and reduced discretionary spending have delayed plans to “reinvigorate” the rundown Moroccan-themed hotel-casino. During its heyday, the Sahara hosted the Beatles and provided the location for the 1960 movie “Ocean’s Eleven.” Built by Del Webb, the hotel was last renovated in 2003. Room additions in Las Vegas have pushed occupancy down to 79% in January, or 15% less than three years ago, says the city.

However, a “complete renovation and repositioning” could still be in cards for the “historic property,” said the company. SBE last summer reached a forbearance agreement with its primary lender, Royal Bank of Scotland Group. In January, Los Angeles-based Colony Capital LLC made a $35-million investment in the project. The Sahara joins six other halted casino-resort projects along the Strip.

----- Advertising -----
Dodge Reports

Below is a brief listing of Projects Bidding in the South West. Click on any project to get Dodge Report, Plans and Specifications.

Click Here to See More Projects in the South West

Blog: From multiple ENR Southwest Bloggers
Our new blog delivers the latest project and people news, opinions and insights from the jobsite to the boardroom from the editors.
Reader Photos
Photos from Southwest Contractor Photo Showcase
Dodge Lead Center
Search for local construction projects OR CALL 877-234-4246 and get a FREE Lead Now!
Search by Project Type & State





----- Advertising -----
 Reader Comments:

Sign in to Comment

To write a comment about this story, please sign in. If this is your first time commenting on this site, you will be required to fill out a brief registration form. Your public username will be the beginning of the email address that you enter into the form (everything before the @ symbol). Other than that, none of the information that you enter will be publically displayed.

We welcome comments from all points of view. Off-topic or abusive comments, however, will be removed at the editors’ discretion.