AEG, MGM Resorts Building New Las Vegas Arena
June 18, 2013 at 12:02 PM (PT)
AEG and MGM RESORTS INTERNATIONAL has finalized a joint venture to build a new arena project in LAS VEGAS. The 20,000-seat indoor arena is expected to break ground in summer 2014, with the grand opening projected for SPRING 2016. The project is anticipated to cost approximately $350 million and be financed with equity contributions from each of the partners as well as privately funded third-party financing.
"Finalizing our agreement with AEG and selecting POPULOUS, a world-class design firm, as the architect of this project are both important milestones in this process," MGM RESORTS INTERNATIONAL Chairman/CEO JIM MURREN said. "The combination of MGM and AEG, along with the excellent LAS VEGAS STRIP location, is already driving interest from potential investors in this exciting new development."
"After spending many years exploring a variety of arena opportunities in LAS VEGAS, we are excited to have consummated a partnership with MGM RESORTS INTERNATIONAL, the leading gaming and hospitality company, to begin designing and building a state-of-the-art arena on such an ideally located site," AEG Pres./CEO DAN BECKERMAN said. "Bringing together the knowledge, experience and assets of our respective organizations, we will create an arena that offers fans the best live entertainment experience."
AEG GLOBAL PARTNERSHIPS will undertake the sales of sponsorships, premium seating and luxury suite sales as well as seeking a naming rights partner for the new LAS VEGAS showplace.