The third time could be the charm for a long-stalled Strip development.
In August, crews returned to the site at the long-stalled Fontainebleau resort in Las Vegas Strip, with construction set to be complete in late 2023. It is owned by Florida-based Fontainebleau Development and the real estate wing of Koch Industries. The partners plan a 63-story resort and casino near the recently opened Resorts World Las Vegas and the Las Vegas Convention Center West Hall expansion. It will open under the name Fontainebleau Las Vegas, reported the Las Vegas Sun.
Renewed construction at the site began in August, said Jeffrey Soffer, chairman and CEO of Fontainebleau Development.
“We have been extremely selective when it comes to expanding our brand,” Soffer said. “Las Vegas has always been our No. 1 choice. The building is in mint condition, and this will only add to all of the great hotel options Las Vegas already has.”
Soffer said the Fontainebleau will be an upscale resort, along the lines of Wynn Las Vegas and Encore.
Construction on the project started in 2006 and was 70 percent finished when the Great Recession hit. Soffer was part of the original group that planned to open the property, which later went bankrupt, was acquired by JW Marriott, and was repositioned as the Drew. In 2020, again the project was halted, this time due to the Covid-19 pandemic.
Jake Francis, president of Koch Real Estate, said the resumption of work at the 25-acre site reflects growing confidence in the Vegas market.
“We’re bullish about Las Vegas,” he said. “It’s one of the most recognizable brands, iconic brands, for tourism and gaming. When the opportunity came, we knew we wanted to be in Las Vegas. We see continued growth here.
“The location is very different than it was 14 years ago,” he added. “We’re the beneficiary of Resorts World opening up and the convention center expansion and all the money that’s been invested in this area of town.”
Nevada Governor Steve Sisolak welcomed the “rebirth” of the project.
“I know we’re going to move forward and we’re going to get this finished,” Sisolak said. “It’s going to be terrific.”
When construction is in full swing, close to 3,200 workers are expected to contribute at the site. Sisolak also pointed to the thousands of permanent employees who will eventually work at the resort.
“I know how important this is to our entire community,” Sisolak said. “I’m really looking forward to being here to help cut the ribbon when it opens.”
About 1,800 rooms inside the building had been completed, but they will be gutted and designed anew as part of the construction process, Soffer said. Fontainebleau Las Vegas is expected to feature more than 3,700 rooms.
“The market has changed, and those styles are now outdated,” Soffer said. “Our brand will play in the Wynn, Bellagio, Aria realm. That’s the type of finish we’ll have. We’re looking forward to finish what we started. I never thought this would sit this long because it’s always been a great building.”
Upon opening, Fontainebleau Development will be the sole hotel operator.
