CityCenter, the still-under-construction megaresort on the Las Vegas Strip, faces mounting challenges in reaching completion. The project, touted as the nation’s largest privately funded development, has tried unsuccessfully for months to obtain a $1.2-billion loan to finance the final leg of construction. Now its partners are fighting in court. The $9.2-billion CityCenter, which includes 19 million sq ft of hotels, homes and entertainment space, broke ground three years ago. On March 23, project partner Dubai World, a conglomerate owned by the Dubai government, sued developer MGM Mirage in Delaware Chancery Court. The timing couldn’t be worse: MGM Mirage is cash-strapped
The market is generally healthy and steadily growing, and margins are up for large specialty contractors. Further, advances in design tools and owner demand for collaboration are giving subcontractors a seat at the table early on in projects.