ManhattanWest Project Halts Construction Amid Financing Woes

By Tony Illia

Gemstone Development recently halted construction on its ManhattanWest project in southwest Las Vegas due to money woes. Funding for the $350 million mixed-use complex has evaporated, company officials confirm.




Gemstone is now looking to raise cash to finish construction by selling discounted senior notes. The developer blames rising construction costs for its predicament, and it accuses APCO Construction, the project's former general contractor, of performing shoddy work that had to be redone.

The company earlier this year named Camco Pacific Construction as its replacement contractor. The development's first phase, which broke ground in May 2007, was scheduled to open this month.

ManhattanWest is situated on 20 acres at Russell Road and Interstate 215 Beltway.

The initial phase calls for five buildings totaling 195,000-sq-ft, including a 120-room hotel and 30,000-sq-ft worth of shops and restaurants. Phase one also entails two four-level residential buildings and the 9-story Element House, which is a modern glass condo building with a swim-up bar and waterfall. ManhattanWest is tied together by six acres of paved walkways, plazas and gazebos.

Plans eventually called for 700 condominiums in 12 buildings. Gemstone previously built the 700-unit Manhattan mid-rise condo complex at Serene Avenue and Las Vegas Boulevard.

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