LAS VEGAS (KTNV) — Developers of the Fontainebleau Las Vegas expect the new hotel will be complete by the last quarter of 2023 after securing a $2.2 billion loan to complete construction.
In a press release on Friday, Fontainebleau Development said construction of the 67-story luxury hotel "remains on scheduled for global debut."
The $2.2 billion loan was secured in partnership with Koch Real Estate Investments, Fontainebleau Development says.
"Securing $2.2 billion in financing in today's market speaks to the widespread confidence in this project, and the team that's come together to bring it to Las Vegas," said Jacob Francis, president of Koch Real Estate Investments.
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Construction of the hotel on the north end of the Las Vegas Strip has been in the works in some form since before the Great Recession. The 9-million-square-foot property spans 25 acres adjacent to the Las Vegas Convention Center. Once complete, developers say the property will feature 3,700 hotel rooms and 550,000 square feet of convention and meeting space — plus gaming, dining, retail and lifestyle offerings.
The project has been troubled over the years between the recession, the COVID-19 pandemic, and ownership complications.
"Without badmouthing it, it's been a tremendous eyesore," Clark County Commissioner Tick Sergerblom said previously. "It's so big, you can't miss it. You see the hokes, the windows that are missing, and it's just like, 'Oh my God, this represents old Las Vegas.' And now, when it's done, it'll be the future."
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Southern Nevada leaders have said they hope tax revenue from the resort will spur more economic activity and redevelopment on the north end of the Strip.
"...the redevelopment agency goes from [the Fontainebleau site] all the way down Maryland Parkway, all along Sahara," Segerblom said. "So we'll be able to build hopefully thousands of apartments and some mixed-use and hopefully some other really fun things."
"This is a milestone for Fontainebleau Las Vegas and stands as a testament to the tremendous dedication of our team and our partners at Koch Real Estate Investments," said Brett Mufson, president of Fontainebleau Development. "We are eager to bring our iconic Fountainebleu brand - timeless beauty, unparalleled service, and innovative design - to the Las Vegas Strip."
