Las Vegas
Plans were unveiled today to build a new, first-of-its-kind 400,000-sq.-ft. music venue in Las Vegas funded by some of the biggest names in live music. Investors include Madison Square Garden Company, Las Vegas Sands Corp., Azoff MSG Entertainment, Live Nation, and Oak View Group. The companies will come together to create the new venue, which is expected to seat 17,500. MSG will ultimately own the arena.
The group invokes the success of The Forum, Inglewood, Calif., as the model for the new music venue. Whether Las Vegas can accommodate a massive new arena like this seems debatable, but champions of the city as well as the investor group say yes. In fact, T-Mobile Arena, operated by AEG Facilities and MGM, just entered the scene. The 20,000-seat arena opened on the Strip in April.
Pat Christenson, Las Vegas Events, greeted the news enthusiastically and said that Las Vegas is absolutely ready for it. “Since the MGM there’s been an explosion of live music in Las Vegas,” Christenson said. “This has brought confidence to Vegas as a live music destination.”
“Las Vegas is the entertainment capital of the world” Christenson added. “This is just more evidence of the growing market for Vegas. Every time we build it creates content. Vegas can pull this off, no doubt about it.”
Christenson stressed that not many markets can pull off something like this. “Vegas is unique and just keeps growing. Looking at the market, and economic conditions here, this seems like the perfect new addition to the landscape.”
He is also confident in the big players that have banded together to build the new arena. “These guys have done their homework, know the potential and are in a position to attract incredible talent. They have the relationships already in place.”
At the moment, none of the principles are talking pricetag, funding, opening date, or even a rendering of the new facility. The fact sheet issued by the investor group comes with a big public-company caveat concerning the enterprise: “Forward-looking statements involve a number of risks, uncertainties or other factors beyond the control of the companies, which may cause material differences in actual results, performance or other expectations. These factors include, but are not limited to the uncertainty of whether the required regulatory approvals and entitlements will be granted on a timely basis, or at all, whether the parties will enter into the lease, whether the construction of the new venue will commence, and whether the venue will open.”
However, Azoff told Billboard and the Los Angeles Times that he thinks it's two years away. It will feature a unique-to-arenas seating design allowing all 17,500 seats to be in front of the stage. According to the fact sheet, provided by Kimberly Kerns from MSG, it’s going to be designed with “superior acoustics, state-of-the-art technology, luxurious seating options and exclusive clubs and lounges, along with first-class artist amenities in deluxe, dedicated areas.”
The massive new structure will be located on Sands Avenue between Manhattan Street and Koval Lane. When completed it will be the world’s largest venue built specifically for music and entertainment, according to the fact sheet. While the new venue will showcase big splashy concerts and specially designed residences, it will also house UFC mixed martial arts events, according to Irving Azoff, chairman and CEO of Azoff MSG Entertainment.
Music-based venues, without a sports franchise attached, are common in Europe and are gaining popularity in the states, as evidenced by the reinvention of the Forum in Inglewood, Calif., also owned by MSG and Azoff.
James L. Dolan, executive chairman of The Madison Square Garden Company, said in a statement, “Through our experience with the Forum, we’ve realized that there’s a real need for venues that focus specifically on music and entertainment. Now we’re taking what we’ve learned and expanding MSG’s portfolio of celebrated venues into key markets, where we can use our building expertise, operational excellence and industry relationships to ensure they become thriving destinations that continue to set the standard for entertainment. Las Vegas, as an underserved concert market, is an opportunity that Irving Azoff cultivated and brought to our attention. With his continued involvement, and our relationship with Sands, we look forward to creating a world-class venue that exceeds the expectations of both artists and music fans.”
The project will incorporate a pedestrian bridge that will connect the new venue to the Las Vegas Sand’s Venetian and Palazzo resorts.
Irving Azoff, chairman and CEO of Azoff MSG Entertainment, sums up the new venture this way, “The tremendous success of the Forum illustrates the power a world-class music and entertainment-focused venue has in attracting both leading artists and music fans. We believe this opportunity in Las Vegas, which welcomes more than 40 million people a year, will take this model to a whole new level. Las Vegas is known for many things, but until now its entertainment options did not include a state- of-the-art, large-scale destination created specifically for major concerts. That will change with this never-before-seen venue, which will be an experience in itself, bringing people to Vegas for the biggest concerts and events in the world. This will include the excitement of mixed martial arts as we look forward to working with the Fertitta brothers on bringing UFC events to the new venue.”
Interviewed for this story: Pat Christenson, (702) 260-8605; Kimberly Kerns, (212) 465-6442