On Wednesday, the Las Vegas City Council is scheduled to vote on an agreement that may finally re-start development of the long-defunct Lady Luck Hotel & Casino. As you may recall, the Henry Brent Co. planned to convert half the property into condos and keep the other half a hotel.

Foolishly, Brent closed down the whole kit 'n kaboodle, rather than renovating in stages. So long, cash flow. Not surprisingly, the project eventually ground to an agonizing halt, leaving downtown Las Vegas with one more eyesore, of which there was already no surfet.

Current owner CIM/LL Las Vegas has been presented with a laundry list of demands from the city, including at least $100 million in upgrades to the Lady Luck, ones which will make it theoretically commensurate with a three-star hotel. In return, the city will make various concessions, including bending the rules regarding "the placement of supergraphic and tall-wall signs." Three million dollars derived from said signage (over a 10-year period) will go to the so-called "Mob Museum" -- its full and fancy name is The Las Vegas Museum of Organized Crime and Law Enforcement.

In return for getting the Ogden Garage from the city at a discounted rate (anywhere from 40% to 61% off its appraised value), CIM has to spend a half-million on upgrades. It also gets a big chunk of city land (again, at a discount), contingent on building a low-rise mix of retail, restaurants and nightclubs -- and, yes, maybe condos.

If CIM can't get started by New Year's Eve next or isn't "substantially" done two years later, all bets are off ... although I doubt the City of Las Vegas is going to want to revert to having yet another dark, half-finished Lady Luck looming in its midst. CIM may not be holding all the cards, but the city seems to be trying to make the best of a weak hand.

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