Hotel and Casino Go Up, Hotel and Casino Go Down

by Jack Prophet | Aug 31 2011

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The Harmon Hotel and Casino  is in the news again and not for the right reasons. The unfinished boutique resort was supposed to be online as of last year but a series of construction challenges has delayed the project. However the death blow was dealt last week when owner MGM Resorts International released the news that the hotel has been designated as uninhabitable due to concerns about withstanding an earthquake. MGM is now in the process of seeking approval from the City of Las Vegas to demolish the hotel.

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Spinning the Earthquake Roulette Wheel
Part of the massive City Centre development, the Harmon has had a troubled existence from the get-go. First it was determined that the building could not be built to its intended height due to stability concerns and the design of the tower was halved from 49 stories to 26. Concerns then focused on the steel girders that provided that structural strength to the oval building and their failure to meet earthquake related building codes.

Although an earthquake might seem like a far-fetched event it is actually a significant concern in Nevada. After the earthquake capitals of California and Alaska, Nevada is the third highest at risk area to suffer what scientists charmingly call a "large magnitude seismic activity". As such MGM International Resorts has decided to not roll the dice - ultimately nothing is as bad for publicity in the hotel business as, umm, a hotel falling down on your guests.

Naturally the calamity that is the Harmon has led to a large number of interrelated lawsuits. At one point MGM International Resorts was being sued by its investment partner Dubai World. The City Centre development, which includes hotels such as the Aria and the Mandarin Oriental among others, was originally slated to cost 8.5 billion dollars. However, construction delays and over runs pushed the total figure to just over 13 billion dollars not including the potential demolition or retrofitting costs of the Harmon. That requires a lot of slot machines  to make that amount of money back.

At the end of the day, MGM will likely get its way and the Harmon will be demolished and replaced with a more earthquake friendly structure. It is doubtful however that the implosion will turn into the party and social event that the demolition of the Sahara did, as everyone seems eager to bury the 275 million dollar blunder and move on.

Ten Signs You Are Staying at the Harmon Hotel and Casino in Las Vegas

1.    Your pillow doubles as a parachute.
2.    Front Desk asks you if you have ever rappelled down a mountain when checking in.
3.    Room Service refuses to deliver to any floor higher than a fire truck extension ladder can go.
4.    The pool is only open when it rains.
5.    The elevators have yet to be installed and the elevator shaft now functions as the "bungee jumping attraction".
6.    The staff tips you for staying there.
7.    The highest three floors house inmates from the Nevada State penal system as the hotel is considered to be "inescapable".
8.    The International Brotherhood of Bedbugs gives it a failing grade.
9.    The lack of windows in your room has been explained away as facilitating a "desert nature experience".
10.    The motto of the Harmon is, "If the tower is a-rockin, don't come a-knockin!"

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