With a new exhibition district planned, Las Vegas’ latest offerings are designed to future proof the destination.
EW’s recent visit to Vegas revealed two diametrically opposed, but equally satisfying sides to the city.
The destination’s gaudy, cartoony charms have been its traditional pull, exemplified by Caesar’s Palace’s jocular recreation of Ancient Rome, Paris Las Vegas’ Eiffel Tower replica and The Venetian’s risible gondola experience, which replicates Venice’s historic canals under a sprawling, borderline absurd, blue sky mural.
Less well-documented is Las Vegas’ refined and elegant side, which can be revealed in rich detail if the mood (and budget) takes you.
Examples of this include The Four Season’s tucked-away mini-resort, The Delano’s Deco flourishes and dining experiences such as Julian Serrano’s delicately flavoured tapas experience in the Aria.
While these opposing pulls coax very different emotions for MICE visitors, they are both volatile to economic conditions – exuding perceptions of lavishness and frivolity in tough economic times.
Indeed, in 2007 a record 39 million visitors poured into Las Vegas, but four years on, the Sin City was bust. Hotels went under, and venues stalled in construction. The state of Nevada led the US in foreclosures and bankruptcies, and unemployment stood at 13.2 per cent.
In 2017, however, things are looking up. MGM Resorts International reported a ‘great’ 2016, opening The Park, T-Mobile Arena and Park Theater, and announcing the rebrand of Monte Carlo to Park MGM. It expects 2017 to be even more fruitful.
Jim Murren, chairman and CEO of MGM Resorts International says growth is expected this year, thanks to projects like the LVCVA’s Las Vegas Convention Center District project, which will see the expansion and renovation of the convention center.
“In our efforts to continue expanding international visitation, we look forward to continuing our partnership with McCarran International Airport to attract more new service from new markets in the coming year.”
Vegas resident, and president of International Trade Information Inc Stephanie Selesnik agrees, telling EW that there’s a palpable mood of optimism. “Marketing was cut during the recession - a time when in my opinion you really need to up your exposure. But, the shows that are back are back bigger than ever. The hotels are also really stepping up their game. There’s different price points here, and something for everybody.
“We have professional sports coming into the city too, and highlights include The National Rodeo, NASCAR and the Electric Daisy Carnival. Meanwhile, The Who are coming, and residencies are always very popular. I enjoy living downtown and seeing its resurgence. It’s a different crowd here.”
She adds that exhibition centres are innovating, but facing the usual obstacles. “Visitors want more Wi-Fi, and its hard to keep up. People have two to three devices on them nowadays. In terms of growth industries, e-sports is a huge growth area.”
The LVCVA's radical expansion plans
Such optimistic projections were echoed by SVP of finance Las Vegas Convention and Visitors Authority (LVCVA) Ed Finger, who gave EW a lengthy rundown of The Las Vegas Convention Center District’s developments. Our chat revealed the challenges faced meeting organiser needs, and how worldwide venues are providing an influence.
“The great recession probably hit us harder than any large metropolitan city. Tourism and hospitality really suffered. We were building the largest projects in the world, short of Dubai, then we were hit hard.
“There was little opportunity in Vegas, and US travellers were staying put. Post 2010, however, as economic outlooks improved slightly, LVCVA re-embarked on its expansion plan with local government. A half per cent increase in room rates helped fund the District project.
“Shows like Speciality Equipment Manufacturers Association, CES and CONEXPO demanded more space. More people were showing up each time, and Vegas is part of that pull. People simply prefer coming here over other places.
There was also demand from other shows that Vegas couldn’t meet. “A great case was made for the project, and now we have the funding and are planning a $1.4bn investment.”
Las Vegas Convention Center District is projected to bring 6,000 construction-period jobs to Southern Nevada, and the construction portion alone is projected to generate $3.6bn in economic activity.
When the project is complete, the resulting increase in economic activity could sustain up to 6,000 permanent jobs and generate an estimated incremental economic impact of nearly $700m and $221m in wages and salaries.
The $2.3bn project is the largest economic development initiative the LVCVA has undertaken since the Las Vegas Convention Center was originally built in the late 1950s.
The first phase focuses on the Riviera site and includes 69,677sqm of new exhibit space and 17,419sqm feet of supporting meeting space as part of the new expansion.
Phase two focuses on renovating the existing convention center and includes a general session space and another 929sqm of meeting space. Including public areas and service areas, the expansion and renovation increase the facility from its current total footprint of 297,289sqm to nearly 529,547sqm.
Once construction begins, the entire project is expected to take five to eight years to complete.
“The number one demand has been an improvement in food provision,” says Finger. “We’ll make space for delgates to meet with colleagues between shows. At the moment, a competition is planned for 2018 when designs for the centre will be submitted from international companies. I’m excited to see the results. It’ll be transformative from a business perspective.”
Finger started at the LVCA in mid-2016, and joined to be part of the convention centre project.
Building the convention centre will be a global effort and the LVCVA is taking design ideas from countries including Singapore.
“While Asia has bigger budgets, Vegas will be taking on some of their innovative aspects, and learning from venues worldwide. We have a healthy budget and it will look and feel so much better, relating to our customers in a better way.
“We currently have people travelling the world looking at exciting ways to better use space, and examining how people interact at trade shows.”
Organisers of shows including CES and SEMA were also bought in to consider what they want from the new venue.
Demand is high for new seating areas, eating areas and points of sale. The LVCVA also consulted on flexibility options, queuing areas and provision for temporary venues outside the venue.
“We need walls, windows and technology changes to aid meeting planners. Advertising space is important too, as well as way-finding.
“Some shows put in their own way-finding, but as phase 4 takes us nearer the Strip, transport will be an important factor as delegates will be nearly a mile away from the entrance.
“Moving walkways, outdoor shuttle options and so forth are part of what we look for in the final design, and we’re reviewing our options” Finger continues.
As investment in Vegas steps up a gear, the destination is embracing international influences and providing more varied experiences. We expect to see it out-strip the competition in no time.
