CityCenter Postpones Completion of Harmon Hotel Until 2010 in Las Vegas

Wed January 21, 2009 - West Edition

LAS VEGAS (AP) CityCenter Holdings LLC, a joint venture between MGM Mirage and Infinity World Development Corp., said Jan. 7 that it has postponed the opening of its Harmon Hotel & Spa until late 2010 and canceled the residential condominium part of the project.

The hotel is one part of the CityCenter complex, a 67-acre mixed-use project on the Las Vegas Strip. When finished, the Harmon is expected to include about 400 rooms and suites, CityCenter said.

The Harmon was originally designed to have about 200 residential units, of which 88 are under contract to be sold. Those buyers will be entitled to refunds of their deposits, but also will be given the opportunity to buy units at the Mandarin Oriental Las Vegas, Vdara and Veer Towers, CityCenter said.

Construction of the Harmon’s structure and exterior will be finished, while the completion of its interior will be postponed.

With the changes and other cost savings, CityCenter said it now expects to save $600 million, up from its previously stated $400 million.

In addition, by postponing hotel’s completion by one year, CityCenter said it will defer about $200 million in construction costs.

All other components of project, including the Mandarin Oriental, Vdara and Veer Towers, remain on schedule for a December 2009 opening, CityCenter said.