Las Vegas Sun

April 20, 2024

Sun Editorial:

In reshaping downtown, Hsieh lived his motto

Tony Hsieh

Steve Marcus

Zappos CEO and Downtown Project investor Tony Hsieh.

In the laughter of families playing at Container Park, the sounds of music coming from nightspots on East Fremont and the oohs and aahs of visitors discovering the vibrance of downtown Las Vegas beyond the Fremont Street Experience, Tony Hsieh’s spirit will live on in the town he transformed.

Hsieh’s death Friday at just 46 is a shock and a heavy sadness for Las Vegas, where this unconventional young businessman joined the list of iconic leaders whose adventurous nature and bold investments made us the fabulous place we have become.

While a shocked community mourns his loss, we must celebrate Hsieh’s remarkable life and lasting contribution to our city.

Hsieh wasn’t born here, but he and Las Vegas simply seemed destined for each other. Hsieh established himself in the valley in 2004 when he moved here from San Francisco with Zappos, the startup he had built into a major online retailer with billions in sales.

He made a good first impression: The relocation of Zappos was a proud moment for Las Vegas, putting us on the map of the technology industry and helping diversify a local economy that has been far too reliant on tourism and gaming revenue.

Where Hsieh made his greatest impact, however, was in the creation of The Downtown Project, now called DTP Companies, eight years after his arrival. His investment of $350 million in restaurants, night spots and tech startups brought about a breathtaking turnaround of East Fremont from a skid row of derelict motels and empty storefronts into a dining and entertainment district enjoyed by millions.

The audacity of Hsieh’s downtown vision is difficult to overstate, given the condition of the area at the time he unveiled his plans. Before Hsieh came along, there wasn’t much of a reason to wander down East Fremont past the Fremont Street Experience except to visit El Cortez. And walking between El Cortez and the next nightlife attraction, Atomic Liquors, meant going down dark sidewalks lined with sagging buildings and trash-strewn lots.

But where many saw decay and desperation, Hsieh saw a potential magnet for young people like him. The brilliance of his plan was based on a societal trend that Hsieh had experienced firsthand as a startup entrepreneur: Millennials were showing a strong preference to live and work in walkable areas as opposed to commuting from suburbs.

Hsieh recognized that in key ways, downtown was an ideal spot for those young people. Designed in an era before superhighways and suburban sprawl, it was compact and pedestrian friendly. Real estate was relatively cheap in the aftermath of the recession, offering an abundant number of buildings that could be converted into restaurants, bars, work spaces and retail establishments.

In 2013, Hsieh supercharged the development by moving Zappos headquarters into the old city hall building. That brought an infusion of about 1,500 workers into the heart of downtown, who helped kick-start activity in the establishments that were opening along East Fremont.

In areas where downtown was lacking, including availability of housing and grocery suppliers, Hsieh and his team worked with the city of Las Vegas to fast-track development. Today there are several options for individuals who want to live and work downtown, and grocery options include a market that opened three years ago.

By 2017, The Downtown Project had acquired about 90 properties. And while the transformation remains a work in progress, residents who saw the area pre-DTP know that the turnaround has been astounding. A lonely walk has turned into an opportunity to grab a great cup of coffee, buy stylish clothing, enjoy an array of fine dining options, and more.

Meanwhile, Hsieh also boosted downtown with his ardent support of the Smith Center for the Performing Arts, the Life is Beautiful festival and other attractions, such as the Las Vegas Lights minor-league soccer team.

For Hsieh, the phrase “delivering happiness” was a touchstone — a Zappos company tagline, the title of his 2010 autobiography, and, according to his family, a personal mantra for him. But there’s no question that throughout his life, Hsieh lived up to the promise of that statement. The proof is in the millions of past and future visitors to East Fremont, and the lives of those who are dwelling or making a living downtown.

On Friday, his life was cut short when he succumbed to injuries he suffered in a house fire while visiting family in Connecticut.

His stunning death prompted tributes from a number of community and state leaders, who expressed their gratitude to Hsieh for making downtown what it is today.

We add our voice to that list.

Las Vegas remains a place where an individual can have a profound impact and where visionaries can create wonders. Hsieh joined the pantheon of such people and made lives here better for it.

He is gone far too soon, but his place in Las Vegas history — and hearts — is permanent.