Wednesday, April 26, 2000 | 11:09 a.m.
If Steve Wynn wants the Desert Inn, he's going to have to overcome a prominent new competitor -- casino designer and developer Mark Advent.
Advent, the designer of New York-New York, said today that his company, Advent Communications and Entertainment Inc., made an all-cash offer to buy the Desert Inn on Monday evening. Advent would not disclose, however, how much he offered for the property, saying he didn't want to tip off competing bidders.
"We have an offer on the table, which we believe is substantial," Advent said. "It's all cash, the financing is in place, and I have submitted it to Starwood (Hotels & Resorts Worldwide, owner of the Desert Inn)."
Advent said, however, that Starwood hasn't responded to his offer.
"We're waiting to hear a formal reply," Advent said. "I'm expecting to hear something."
Dan Gibson, spokesman for Starwood, was traveling this morning and could not be reached for comment.
The Sun previously reported that Wynn, the outgoing chairman of Mirage Resorts Inc., toured the Desert Inn on April 15. Gibson saidlast week that Wynn is interested in acquiring the property.
Advent, however, said he isn't fazed by his powerful rival for the north Strip property.
"Sometimes it's not a question of outbidding someone, in terms of dollars," Advent said.
"Our offer has significant other meaningful components that are far lasting for Starwood and Starwood's presence in the Las Vegas hospitality market.
"I have respect for Steve Wynn and what his vision has meant to the growth of Las Vegas. But I'm hoping Starwood will see the value of our proposal, which is substantial."
Advent didn't elaborate on the elements of his offer and its component that would keep Starwood in the Las Vegas market, saying further details would be disclosed in a press release to be issued later today.
Starwood struck a deal in May 1999 to sell the upscale Desert Inn, together with its golf course and 32 acres of adjacent land, to Sun International Inc. for $275 million.
One of the bidders, at the time, was Advent, who proposed the construction of a San Francisco-themed resort on the 32-acre land parcel in January 1999. Dubbed "Frisco Bay," Advent envisioned a $1.3 billion resort with a 3,000-room hotel and a 173,000-square-foot casino.
In January, the quest to build a San Francisco-themed resort on the Strip took a strange twist when Phil Ruffin, owner of the New Frontier hotel-casino -- near the Desert Inn on the Strip -- announced plans to demolish the long-time resort and replace it with a San Francisco resort called "City by the Bay."
Advent accused Ruffin of stealing the concept from him, and threatened to sue. Ruffin responded one week later with a lawsuit in federal court, asking for a declaration that Advent has no copyrights or trademarks to a San Francisco-themed resort. Advent responded with a $900 million countersuit.
The legal battle is still pending. Advent wouldn't say today whether his plans for the Desert Inn still include the San Francisco concept.
Though Starwood eventually went with Sun's offer, Sun withdrew earlier this year in a move observers said was tied to Sun's efforts to go private.
The move evoked disappointment from Strip observers, who likened Sun Chairman Sol Kerzner's vision to that of Wynn. Now, in Wynn and Advent, two of Las Vegas' most creative figures may go head-to-head for the struggling 50-year-old resort.
Rumors have been flying since Monday that Wynn is getting close to making an announcement that he is buying the Desert Inn.
When asked if a meeting of Mirage's board had been scheduled to approve Wynn's purchase of the Desert Inn while still at Mirage, Mirage spokesman Alan Feldman said, "as a rule, we don't publicize board meetings."
However, sources close to Wynn said they unaware of any plans to hold such a meeting in the near future, and would be surprised by the "timing" of a Wynn bid in the immediate future.
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