City sells $85 million in bonds to finance downtown projects

By Becky Bosshart

Wednesday, March 18, 2009 | 12:42 p.m.

In the shadow of a recession and a nationwide credit crunch, the City of Las Vegas today sold $85 million in redevelopment bonds to fund downtown development projects officials hope will spur the local economy.

The Las Vegas City Council unanimously voted today to sell the bonds to institutional investors.

"We had a successful sale this morning," said Mark Vincent, director of finance and acting deputy city manager. "After six months of hard work we were able to sell $85 million of redevelopment bonds this morning. We will be closing shortly."

The money raised by the bonds will go toward building infrastructure for the 61-acre Union Park project, the Smith Center for the Performing Arts and the Las Vegas Museum of Organized Crime and Law Enforcement (the so-called Mob Museum).

Councilmen David Steinman and Steven Ross were absent from the vote.

Union Park is a 61-acre, $6 billion new downtown core that will be built from the ground up. First-phase infrastructure is near completion and curbs and gutters are in place, officials said.

The Lou Ruvo Brain Institute, under construction at West Bonneville Avenue and Grand Central Parkway, is on the southwestern corner of the site. The $50 million medical center, which will be run in partnership with the renowned Cleveland Clinic, is scheduled to be completed this year. The World Jewelry Center, the 426-room Charlie Palmer boutique hotel, and other residential and mixed-use projects also are planned for the site.

Construction on the Smith Center for the Performing Arts, which will be the center of Union Park, is scheduled to begin in late March. The $360 million project will be Las Vegas' first comprehensive cultural center and is scheduled to open in late 2011.