LAS VEGAS — Las Vegas Arena Co., owned by AEG and MGM Resorts International (NYSE: MGM), has commenced construction on a privately funded $375 million indoor arena set to open in spring 2016. Located west of the Las Vegas Strip, between New York-New York and Monte Carlo resorts, the new 20,000-seat arena will host boxing, UFC and other sporting events, headline entertainment, awards shows and special events.
“We are committed to ensuring that Las Vegas retains its title as ‘Entertainment Capital of the World’ for generations to come,” says Jim Murren, chairman and CEO of MGM Resorts International. “The addition of this world-class arena, which will attract new events to the market and enable existing events to grow in scale, is an integral component in that strategy.”
The arena is expected to host more than 100 events annually. The property will house multiple locker facilities, dressing rooms, broadcast facilities and staging innovations that will bring sporting and entertainment events to Las Vegas. Additionally, sports architecture firm Populous designed the arena to achieve LEED Gold certification.
Upon completion, the arena will feature 50 luxury suites, more than two dozen private boxes and other hospitality offerings that have never been featured in a facility of its kind, according to MGM International.
“This arena should symbolize for everybody watching that Las Vegas will continue to emerge from the recession a stronger, smarter, healthier and more vibrant destination for international tourism,” says Steve Sisolak, chair of the board of Clark County commissioners. “Projects such as this create much-needed jobs and are true economic drivers.”
AEG Global Partnerships, an affiliate of AEG that collaborates with more than 100 venues worldwide to create sales and marketing platforms, is overseeing the sponsorships, sale of naming rights, premium seating and luxury suite sales for the new Las Vegas showplace.
A wholly owned subsidiary of the Anschutz Co., AEG owns or is affiliated with a collection of companies including more than 100 high-profile entertainment facilities, such as STAPLES Center in Los Angeles and the O2 arena and entertainment district in London.
MGM Resorts International is one of the world's leading global hospitality companies, operating a portfolio of destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. The company’s stock price closed Friday at $26.49 per share, up from $14.81 per share at this time last year.
— John Nelson