Plans to Raze Flawed Vegas Hotel Tower on Hold While Claim Investigated

November 26, 2013

Plans for owners of the CityCenter development to demolish a flawed, half-built hotel tower on the Las Vegas Strip have been placed on hold.

Clark County District Judge Elizabeth Gonzalez, at a Friday hearing, withdrew her Aug. 23 approval of plans to raze the Harmon Hotel tower.

The Las Vegas Review-Journal reports she took the action after FM Global said it would need more time to complete an in-house investigation of CityCenter’s $393.8 million claim for the hotel as a total loss.

FM Global wrote the insurance policy covering the Harmon’s construction.

The judge will hold another hearing on Dec. 6 to determine how much more time, if any, to give FM Global.

The Harmon was supposed to be a 48-story component of the glittery $8.5 billion CityCenter project that opened in December 2009. But inspectors found flaws in the steel reinforcements used in the concrete structure, and tower construction was frozen at 26 stories.

CityCenter’s consultants have said that the building could collapse in a strong earthquake _ one that has a 50 percent chance of happening in the next 30 years.

CityCenter is operated and half-owned by MGM Resorts International.

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