Apparently not. All we’ve been able to learn is that the issue is still working its way through the court system. Fremont Street Experience declined to comment. Messages left with Plaza Hotel owner Tamares U.S. Real Estate and Plaza operator Santo Gaming were not returned.
At issue is a $429,990 assessment levied against Tamares by the FSE for nonpayment of its share of managerial expenses. On May 3, FSE filed suit, alleging that Tamares had stopped paying its dues in June 2009. In return for its $39,090 monthly fee, Tamares receives ad placement in the overhead "Viva Vision" display, in FSE’s magazine and on its Web site. With the two sides still at loggerheads, LVA calculates that Tamares could have racked up as much as another $195,450 in additional arrearages, bringing the tab to $625,440.
The Plaza has been sending conflicting messages with regard to its solvency. On Sept. 15, our Stiffs & Georges blog broke the news that Plaza creditors had filed a Notice of Trustee’s Sale against the hotel and had scheduled a foreclosure auction, in order to collect on a $56,189,714.40 note secured by the property.
But, on Oct. 7, the Las Vegas Sun disclosed that the Plaza had bought "high-end furniture intended for, yet never used by, the Fontainebleau ... When the Plaza’s 1,037 hotel rooms reopen in September 2011, they will feature top-flight wallpaper, carpet, tile, sofas, chairs, desks, dressers, side tables and bed frames courtesy of ... the stalled luxury property with an estimated $3.5 billion price tag that was designed to compete against Las Vegas’ swankiest resorts."
It hasn’t been disclosed how much Tamares paid for this five-star rummage sale, so it remains to be seen how much remains of the Plaza’s published $20 million renovation budget. One source says $20 million is a lowball figure – and it had better be, since widespread skepticism has been voiced over whether Tamares can redo both hotel towers, its lobby and façade, as well as replacing its slot inventory. After all, $20 million doesn’t buy what it used to.
