The Las Vegas Tuscan Villas

The Las Vegas Tuscan Villas is a 20 acre condominium community which opened in January 2005. It is located just two miles from the Las Vegas Strip, and is in Southwest Las Vegas at 5055 West Hacienda Avenue.

Location of Las Vegas Tuscan Villas

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It has a total of 435 units which sold for a total value in excess of $85 million back in 2005, but by 2010 values had receded to as little as 25% of purchase price. However, the price decline has not been accompanied by falling standards in this excellent gated community. The features of the development include pools, spas, parking for boats and RVs, a playground for children and areas for BBQs.

Community Photos

Inside the units were fitted to a high standard with granite countertops, and appliances made of stainless steel. There are a range of floor plans at the Las Vegas Tuscan Villas, from one through to three bedrooms.

Streetview of Las Vegas Tuscan Villas

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The Start of the Strip

The Strip started out life as Route 91, thus the name of some of its first nightclubs: 91 Club. Back in the 1940s 91 Club struggled to compete with Downtown, and folks weren’t attracted to spending their leisure time on what was considered the Los Angeles Highway. Things changed with the opening of El Rancho Vegas in April 1941. This casino hotel, developed by Thomas Hull, had retail, restaurants, shows, horse riding, a pool, and 63 rooms. It was the beginning of the Strip as we know it. The path to mega-resorts offering rooms, restaurants, entertainment, sports and even Las Vegas Strip Condos was in motion.

Following in Hull’s footsteps was developer R.E. Griffith who bought up 175 acres on the highway and built the Last Frontier. Opening in October 1942 this was Vegas’s first themed casino and its tribute to the wild west proved popular. The Carrillo Bar was named after the Cisco Kid’s sidekick, and there were stuffed animals throughout the casino.

Next came the casino that people mistakenly think was the start of the Strip. Billy Wilkerson, founder of the Hollywood Reporter, bought 33 acres south of the Last Frontier in 1945 and started construction of the Flamingo in April of the same year. Wilkerson had Gus Greenbaum and Moe Sedway as operating partners despite their links to organized crime, but the biggest problem was that he was a degenerate gambler. He gambled on the development itself when he started it without sufficient funds to complete it, and he also lots thousands of dollars of his own money as he played the tables during the construction period. The project ran out of money, and crime boss Meyer Lansky came in with $1m to invest.

Soon after Lansky’s cash injection one of his representatives, Benjamin Siegel, came to oversee the investment. Bugsy Siegel first split the project with Wilkerson, and then moved on to take the whole thing over. But Bugsy was no developer, and cost overruns and changes led to a delayed opening in December 1946. It opened without the rooms being complete and thus the casino could not generate the funds to maintain operations: the Flamingo closed just one month after it had opened.

It was in March 1947 that the Flamingo reopened with 93 rooms available. It pretty quickly started to generate profits, but it seems that the mob had not forgotten the cost overruns: in June 1947 Bugsy was killed, and Gus Greenbaum and Moe Sedway stepped in to run operations.

In the story of Las Vegas it is easy to forget the credit due to the true pioneers: Thomas Hull and R.E. Griffith. In the story of the Flamingo it is easy to forget the importance of Billy Wilkerson’s initial vision, and the operational skills of Greenbaum and Sedway. For many people it will always be Bugsy who built the Strip.

The Flamingo opened up a new market to Las Vegas of more sophisticated customers than those that visited Downtown. Once the Flamingo’s success was proven the Strip underwent a period of rapid development in the 1950s. The western-themed Thunderbird opened in 1948, and the Palm Springs-inspired Desert Inn opened in 1950. With each new development the luxury was ratcheted up, and the Desert Inn provided the Strip’s first golf course. Next came the Sahara, followed by the Sands, the Royal Nevada, the Dunes and the Riviera. All of these hotels were complete by 1955 and the Strip had just witnessed the first of its building booms. But the growth spurt still had legs, and the Hacienda opened in 1956, the Tropicana in 1957, and the Stardust in 1958.  The Stardust was the first hotel to realize the potential of the mass market, and its 1,000 rooms were soon filled with average folks who enjoyed gambling.

It was in the 1960s that Jay Sarno came along with the concept of massive themed resorts. The creator of Caesar’s Palace and Circus Circus, Sarno was a visionary. When Caesar’s opened in 1966 it was an instant hit. Sarno doubled up and took his Caesar’s profits to build Circus Circus. It was not until Sarno sold Circus Circus to William Bennett and William Pennington in 1974 that it started performing well. The two Williams toned down the circus act, removed the admission fee and targeted the mass market. Despite the mixed results of his hotels Sarno and paved the way for future casino developers who had grand ideas for the Strip. The ideas would eventually extend outside of casinos to Las Vegas Strip Condos, but that development phase has had mixed results.

Reading the Tealeaves of Casino Revenue

Looking at the January 2010 figures for gaming revenue in January 2010 we see that the Silver State is down 3.2% on last year, and the Strip is down 3%. In analyzing these numbers one has to take into account that in January 2009 the whole of the Chinese New Year was covered, but this year it spills over into February. However, there is still no sign that a growth in the tourism dollar is going to ignite the Las Vegas real estate market.

The figures released by the Gaming Control Board show that gaming revenues on the Las Vegas Strip were $495 million in January, compared to $510.4 million in the same month a year ago. Downtown took a less severe hit, and was down just 2.1%, whilst North Las Vegas was down 0.2%. We could hypothesize that this is because the Strip has the biggest exposure to Asian tourists and that February will give us hope, but on the other hand Mesquite is down 10.4% and Laughlin took a 14% hit on the same month a year ago.

The casino industry recovery is something that developers desperately want to see, but even with Chinese New Year straddling January and February this year there is not much to get excited about. The American economy has dug itself such a massive hole that it has to climb rather than jumps out – are these January figures a foothold?

The January 2009 Nevada gaming revenues were a 15 per cent drop on the previous year, so at least the rate of decline is slowing. But it is not an even slowdown, with slot machine volume down 9.9 percent versus table games at 2.2 percent. It is high stakes baccarat that has been propping up the Strip – revenues if $107 million were collected in January.  Unfortunately the real estate industry is not going to be rehabilitated off the back of some baccarat whales.

Nevada collected $59.7 million in gaming taxes for the period, compared with nearly $47.1 million a year ago, according to the Gaming Control Board.

Collections were helped by the repayment of outstanding debts associated with high-end customers.

“Much of the money collected came from markers owed for the New Year’s weekend,” said Control Board Tax and License Division Chief Frank Streshley. “January was one of our strongest months for tax collections in some time.”

For the first eight months of the fiscal year, Nevada has collected $406.3 million in gaming taxes, a decline of 1.6 percent compared with $412.9 million collected for the same time period in fiscal year 2009.

Streshley said the tax collections were trending ahead of predictions made by the Nevada’s Economic Forum for the fiscal year. The forum’s panel thought gaming tax collections would be down 2.5 percent for fiscal 2010 compared with fiscal 2009.