Will Construction Resume On The Fontainebleau?
In June the Fontainebleau project in Las Vegas filed for Chapter 11 but now the huge $3 billion property could end up being finished by its lenders. Previously the lenders had balked on continued spending and ended up freezing construction leaving the project in a state of undone stasis. Barbara E. Hernandez of BNET explains that any potential new owner would have to spend an additional $1.5 billion just to finish the 3,815-room resort. That's a number that is likely to scare off most investors. Instead of heading to a foreclosure auction where no one would make money, the lenders and owners are now working together to get the resort finished so it has a potential to make money someday (and stops being an unfinished eyesore along the Strip). Hernandez points out that there is a Finish Fontainebleau Las Vegas Facebook group which has over 400 fans. Depending on when the project is done it could capitalize on the resurgence of tourism to Las Vegas which is predicted to happen in the next year or so.