Massive Delays Earmarked for Las Vegas Casinos

Massive Delays Earmarked for Las Vegas Casinos

A delay in Las Vegas is nothing new. After all, when you factor in all of the completed resorts at the moment that were delayed during their construction, you would get such a large number that it might actually be staggering once you got the final word in as to what that figure was. However, the main difference between those casinos and the current casinos is that those delays were usually do to time wasting or some sort of managerial incompetence that lost money and ended up leading to something far different from what was originally planned. Those delays came at times when money was big in Las Vegas and in ready supply and it seemed as though absolutely everybody that was putting money into the system was also getting money out of it in terms of the corporations that were creating all the resorts.

Time has a way of changing all things they say and because of that now we have a situation in Las Vegas where there are once again quite a few delays happening, but this time there is no money cushion to curb the fall of the big Las Vegas gambling companies. In fact, not only is there no money to cushion the impact of these delays, but the lack money itself is the problem that is creating the delays in the first place. Companies like the Las Vegas Sands Corporation and the Boyd Gaming Corporation have put the breaks on a number of their massive construction projects and have lowered the scale of others because of their inability to obtain the necessary financing required to make such a large construction project in the first place. The casino sector in the city of Las Vegas is already reeling from the news of the economic downturn and the fact that people can no longer afford their prices, but at the same time they are now also going to have to contend with the fact that they will likely not be getting any reinforcements anytime soon. In fact, the most optimistic projection at the current moment by financial analysts that follow this market is that work on most projects will not be able to resume until the year 2012.

There are many ways to measure the current volume of work that has been put on hold in Las Vegas, but one particular statistic that many might find of particular interest is the number of rooms that have been put on hold as a result of recent events. According to Deutsche Bank which is responsible for a lot of financing and analysis, that number has recently crept over the 40,000 room mark and at any point in time could end up jumping as high as 45,000 rooms before it ends up peaking and coming back down. Considering that the average Las Vegas resort has a room number that can be measured in the 1000-2000 range, that is an absolutely ridiculous number of rooms to have been put on hold by the current economic downturn and it does not portend well for the future.

July 5, 2011 by : posted in Las Vegas News No Comments