Posted on: October 6, 2024, 11:38h.
Last updated on: October 6, 2024, 11:52h.
There’s a reason we haven’t heard anything about that $10 billion, 20,000-seat NBA arena that the Oak View Group (OVG) was supposed to break ground on last year five miles south of the Strip.
And that reason, according to several sources, is that the project — whose plans included a 2,000-room connected casino hotel — is dead.
A financial disagreement between Denver-based OVG and Fla.-based land owner Blue Diamond Acquisition over the 25-acre site spurred OVG to kick tires at the Rio instead. Apparently, soil samples have been extracted there.
Scott Roeben of Casino.org’s own Vital Vegas broke this story as a rumor on Twitter on July 7, and continues to dominate all local and national reporting about it.
Rio de Dinero
The Rio, if you remember, was one of three sites the Oakland A’s originally eyed for its new Las Vegas baseball stadium before settling last year on the Tropicana — which will be imploded early Wednesday morning, ostensibly so construction can begin. (The other was the site of the former Wild Wild West casino, owned by Red Rock Resorts, just off the Strip.)
In 2022, Dreamscape, the current owner of the Rio, offered the A’s 22 acres for only one dollar to build there — presumably because of all the added business the ballpark would have brought to the casino resort. But the A’s reportedly passed due to concerns about the Rio’s traffic access.
Unlike the Tropicana, the Rio wouldn’t need to be imploded to host a large sports facility. It sits on more than 88 acres of land, 22 of which it considers excess.
A baseball stadium requires just 10-12 acres. (The A’s currently plan to build theirs on 9 acres, which many experts have warned is not enough land.)
T-Mobile — which seats up to 20,000 and could easily accommodate a new NBA team — was built on only 16 acres. However, the NHL and NBA seasons overlap, so T-Mobile’s commitment to the Vegas Golden Knights NHL team may not seem ideal to an NBA expansion team.
Non-Confirmation Confirmation
On Sept. 20, OVG issued a statement to the Las Vegas Review-Journal newspaper about the project’s future that seemed to tacitly confirm its change of plans.
The statement did not mention the Las Vegas Boulevard site, or the 2,000-room casino hotel at all — only that “we are committed to building a world-class NBA ready arena in Las Vegas and will share more information shortly.”
OVG has already built arenas in New York, Seattle and Austin. Its CEO, Tim Leiweke, is the former CEO and president of the Anschutz Group, which owns the L.A. Lakers, the L.A. Kings, and the L.A. Galaxy. (T-Mobile was, in fact, a joint venture between Anschutz and MGM Resorts.)
Additionally, OVG cofounder Irving Azoff plans to use his credentials as a music executive to attract the world’s biggest performing artists to OVG’s NBA arena. (Most insiders agree that his consulting position with the Sphere is what landed the Eagles, Azoff’s longtime client as a manager, its current Las Vegas residency.)
Also involved in the project is Marc Badain, the former president of the Las Vegas Raiders.
