Shopoff Realty Investment and Dream Hotel Group
Shopoff Realty Investment is a national manager for ambitious value-add real estate investments based in Irvine, California. Their major focus as a company is repositioning commercial income-producing properties in order to maximize revenue. On the other hand, Dream Hotel Group is a major hotel and management company with 30 years of managing hotels in many different locations such as New York, Los Angeles, Bangkok, and Miami. The group currently manages 16 different hotels worldwide, with an extra 35 hotels currently in various development stages. This makes Dream Hotel Group one of, if not the fastest-growing independent lifestyle hotel companies in the world.
What led to this new location on the Las Vegas Strip coming to fruition was Shopoff Realty Investment’s new Qualified Opportunity Zone fund. The fund will provide up to a ridiculous $200 million in capital for whoever’s project is selected. Because it is a Qualified Opportunity Zone, those who wish to invest in it would be subject to possible tax benefits by deferring and reducing capital gains taxes from their federal taxes. Dream Hotel Group will be the company that will see the support from the fund with the equity needed for construction being provided by the fund.
The Actual Hotel in Las Vegas
The hotel itself is set to be called the Dream Las Vegas Hotel, and it will cost approximately $545 million to build from start to finish. As it stands, the current plan is to break ground and begin construction in 2021, sometime around the third quarter. Dream Hotel Group plans on employing the services of McCarthy Building Companies, whose most notable project is without a doubt the new home for the Las Vegas Raiders, Allegiant Stadium. As for the interior design, the design firms Rockwell Group and AvroKo are currently pinned for the job.
The notable features set to be built in the hotel include 450 guest rooms, Nashville-based restaurant Stateside Kitchen, a pool day club, an additional resort pool, several retail locations, a full-service spa with studio fitness, and 42,000 square feet dedicated specifically to gaming. The actual location will be within a mile of the Mandalay Bay Resort as well as being very close to the stadium and arena for the Las Vegas Raiders and Las Vegas Golden Knights, respectively. If everything is to go according to the current schedule, construction will finish near the end of 2023. However, while already applied, they have yet to receive project approvals from Clark County, though it is expected to happen sooner rather than later. This could all certainly bring in significant economic revenue to the Las Vegas area and the state of Nevada as a whole; however, the estimates for how much are currently unclear.
The development of a multimillion-dollar new hotel is a reassuring sign for the future of economic recovery in the United States. While the current economic state is still in the early stages of recovery, investments of this caliber predict robust growth in the near future. Especially in an area as currently crippled as hospitality and travel, major plans for the near future give a strong insight into how investors and business owners are thinking about the current track for the United States economy.
About the Author
Tom Price is a writer focusing on Entertainment and Sports Features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.