Bankruptcy in Vegas, vacancy in the O.C.

Both far afield, but both worth noting:

Bankruptcy in Vegas -- From the Review-Journal today: "In one of the potentially largest bankruptcies in Nevada history, Lake Las Vegas (pictured), a 3,592-acre residential and resort development in Henderson, filed for Chapter 11 bankruptcy Thursday.... The new owners cited 'poor liquidity, substantial debt service, (and) extremely challenging real estate market conditions' as reasons for seeking bankruptcy court protection. It filed under Chapter 11, which allows a business to continue operations while seeking to reorganize."

Vacancy in the O.C. -- The O.C. Register's Lansner on Real Estate reports a stunning drop in commercial construction in Orange County: "Voit Commercial Brokerage reports that construction of O.C. office buildings plunged 90.8% in the second quarter to 325,276 square feet. Last year in the second quarter, 3.5 million square feet was under construction. ... All the added space pushed the second quarter office vacancy rate to 14.46%. A year ago, vacancies were at 8.95%."

A 91% decline in commercial construction.

Posted by Peter Viles
Your thoughts? Comments? E-mail story tips to peter.viles@latimes.com
Photo Credit: A.P.

Comments

[It All Happens on the Margin]

SoCalJim,

Like I said, OC is cratering. And it's not just gypsy mtg brokers - it's all the corporate services and feeder organizations wrapped around very large companies that employed mtg brokers...

[E]

What was the big draw to Vegas in the first place?

Gambling?

Escorts?

Tacky Shows?

Or was it just tacky, tasteless people that moved there?

[Lionel]

"Or was it just tacky, tasteless people that moved there?"

If my cousin is representative of the people who moved there, then... yes. He's the guy with two TV's in his Armada, and 7 TV's in his huge house (for all of him and his little girl), and a pair of pitbulls in the backyard. He's been known on occasion to kiss his own biceps.

[Ya sure you betcha]

Celine Dion lives there --hmm. My sissy lives right up the street and her and her husband wacthed all the madness during the RE craze. They still live in their humble 3/2 in Henderson --I believe they own outright now!

I saw Adrea Bochelli at Lake Las Vegas --it was a great show. Oh well!

[Tombstone Realty]

Aw come now. I lived in Vegas, and it was really nice. Yeah, alot of it was tacky looking, but that was part of the joie de vivre of the place. It's the environment that's gorgeous out there. You wouldn't believe the sunsets you get.

Who else would have a 'main drag' festooned with a poster of some woman's diamond encrusted thong'd posterior?

Nowhere but Vegas! If I could actually make a living that didn't involve dealing, serving or dancing on a table - I'd have stayed forever. But alas.....

I will say that this whole "lake" thing was relatively new - most people in Vegas realise they live in a Desert, and any "villa" that has green water is strange.

They were still advertising this place on the Las Vegas paper's website as of two weeks ago.

When you fly over it - you see the carved out lots, graded, but that's it. And the green GREEN water.

[Andrew Z]

Lake Las Vegas is a nice track. Typical desert stuff, but still fun. Just like playing Redhawk in Temecula, I'll have fun spraying drives into empty houses all over Vegas.

[buz]

Went to Vegas a few weeks ago and was surprised at how busy the casino/hotels were given the state of the economy and gas prices. The place was absolutely packed despite it being about 105 outside. I think much of this must be related to people blowing their government "stimulus" checks. Once those checks are spent the Vegas economy should really enter a black hole.

[campechano]

Been to Lake LV many many times, not technically located in vegas though, but Henderson, NV. It's a nice place and not at all tacky, but it is NOT sustainable; that will be it's biggest challenge in the future. Plus, they diverted several million gallons of water from Lake Mead (where Las Vegans get their water) creating a major controversy at one point, all this to create a fake lake...I guess after all that is still a little tacky. But at least there are no casinos in the area that I know of.

The rest of Vegas is like much of the OC, one development after another, and most people there DO NOT make a direct living off gambling or casinos: there are dentists, lawyers, mechanics, file clerks, insurance reps like in the rest of the US. Still, I would not live there. But if I felt I had too, must say in agreement with a fellow reader, that the surrounding environment, its mountains, vistas, sunsets, etc etc are to die for.

[Shiki, Shiki Shaki Skai]

I'm the king of Rock and roll, all of your comments are meaninless..