Las Vegas Sun

March 28, 2024

Developer Jim Rhodes owes $490,000 in property taxes

Rhodes says property near Red Rock was unfairly assessed

Jim Rhodes

Steve Marcus

Developer Jim Rhodes smiles on Blue Diamond Hill on Monday, May 5, 2003. Las Vegas can be seen in the background.

Click to enlarge photo

Under an agreement approved with the county, developer Jim Rhodes can build on part of this land near the Red Rock National Recreation Area.

Developer Jim Rhodes owes Clark County two years of property taxes, totaling $490,000, on his Blue Diamond acreage, where he wants to build homes over the objections of environmentalists and residents.

If Rhodes doesn’t pay the full amount by June 1, 2011, the land — an old gypsum mine atop Blue Diamond Hill southeast of the entrance to the Red Rock National Conservation Area — would be deeded to Clark County, which could then auction off the 60-plus parcels that comprise 2,400 acres.

Rhodes’ spokeswoman Terry Murphy said there is little chance he will let the property slip from his grasp.

Murphy said Rhodes plans to pay the entire bill, though with a protest letter. Despite a steep reduction in the property’s assessed value this year, Rhodes believes the land was still unfairly assessed by Clark County.

Records in the assessor’s office show that the per-acre assessment of the property has dropped from $10,000 three years ago to $2,500 an acre today. Property taxes are based on assessed value, which is equal to about 35 percent of a property’s estimated sales price.

Murphy said Rhodes hasn’t paid the $490,000 bill, which includes penalties, interest and taxes, because of a disagreement with the county over the assessments.

To opponents of Rhodes’ plan to develop near Red Rock, the failure to pay taxes tells another story.

“It says to me that he still doesn’t plan to build anything, but I think he’s looking for a way to sell it or get the government involved in buying it from him,” said Lisa Mayo-DeRiso, a local resident who has helped stir opposition to development on the land. “Everything seems to me like he wants to flip it — ‘Oh, I’m not going to pay my taxes, because I’m trying to sell it anyway.’ ”

County commissioners last week voted 4-3 to accept a settlement with Rhodes that would allow him to develop the land, but with strict county oversight. The settlement would put to rest a lawsuit filed by Rhodes in which he alleges his property rights were illegally taken when the county enacted an ordinance preventing him from developing the land.

County attorneys believed they couldn’t win the case because a federal court struck down a state law that mirrors the county ordinance. The state is appealing the decision.

Commissioner Susan Brager, who represents the area, said Rhodes’ unpaid taxes were news to her, but had she known about them she still would have voted for the settlement. “I know this is protecting that area,” she said.

But Commissioner Chris Giunchigliani, who opposed the settlement, questioned how Rhodes spent “all this money on attorneys, and consultants to develop petitions, but he can’t pay his taxes.” She remained convinced that the four votes in favor of the settlement were wrong.

“What was our rush? We could have asked for an extension, then waited for the outcome of the state’s appeal,” she said.

With the settlement, Murphy said Rhodes is hiring planners, environmental consultants and others, with the aim that the project on Blue Diamond Hill will be his legacy.

Rhodes wants to create a development that blends with its surroundings and incorporates outdoor activities, she said. Since the Blue Diamond area is well-known among mountain bikers, Murphy said creating an area amenable to them is one idea being considered.

Murphy added that Brager is “holding our feet to the fire” on a promise to get the community involved in its planning. Brager said she is in the beginning stages of setting up a committee, including residents and environmentalists, who will work with the developer.

If that committee comes to fruition, Heather Fisher, director of saveredrock.com, said she’s hopeful it will minimize the damage she and others fear will be done to the serenity and beauty of the area.

“We’re not interested in the same things Jim Rhodes is interested in, like increased density,” she said. “That fundamentally goes against the rural character of the canyon.”

Join the Discussion:

Check this out for a full explanation of our conversion to the LiveFyre commenting system and instructions on how to sign up for an account.

Full comments policy