The reason why the Jockey Club wasn’t snapped up by Cosmopolitan’s developer is that it wasn’t -- and likely won’t ever be -- available for sale, due to the fact that it has not one, but many thousand different and independent owners.
When the Jockey Club first opened back in 1974, it was already a prime Strip location, at that point neighboring the Dunes (on the site where Bellagio now stands). Its two buildings debuted as condos, among the first examples in Las Vegas, with a total of 348 units. However, it seems that the market for condos on the Strip has been problematical since the outset, and only 78 of the units had been sold when it opened. A few years later, the remaining 270 spots were converted to timeshares, again a pioneering move for the Vegas Valley. And it’s been the same ever since, with the two buildings comprising 78 wholly owned condos, plus 270 timeshare units.
The latter are sold out and have been for many years. Multiply 270 units times 52 weeks a year, and you come up with 14,040 "intervals," or weeks owned. While some owners obviously own multiple weeks, (ex-Huntington Press Senior Editor Deke Castleman inherited three from his aunt), there are still probably more than 10,000 owners of timeshares at the Jockey Club. Persuading all of them to sell, and then agreeing on a price, seems like a pretty remote possibility.
Still, the Jockey Club did sell part of its land, namely the surface parking lots, to Cosmo, while the Strip resort’s own five-level parking garage is located beneath the two towers, meaning that Jockey Club no longer even owns the land it’s built on. In addition to the land, many of the units also lost their view and now stare out onto a 10-story high concrete wall, a mere ten feet outside the window, meaning a lot of light was also sacrificed during the transaction.
In exchange, however, Cosmopolitan invested $8 million in upgrading, retrofitting, and reconfiguring the JC, in particular financing a complete upgrade of the fire-safety system. While this was something of self-serving move, required to bring the joint up to code to comply with new regulations based on the proximity its new neighbor, we doubt the old gal complained. Some cosmetic upgrades included relocating and refitting (with marble) the two tower entrances, plus a facelift for the porte cochere (again, what self-respecting modern megaresort wants an aging eyesore for a neighbor?). Some practical enhancements for the residents and guests at the Jockey Club included fitting the trash chutes with compactors and compacting four dumpsters into one. The gas meters and electric boxes were moved for easier access; as was the computer operation. Employee-only areas were enlarged, facilitating easier access between the two buildings for moving linen, cleaning equipment, and so on.
Since the Jockey Club sacrificed its parking spaces, the Cosmopolitan picked up the tab for 24/7 valet service and two years of overflow parking at Planet Hollywood across the street while the new underground parking lot was under construction. Once completed, JC owners were granted their own parking level in the new underground facility, with dedicated elevators connecting the garage to the lobbies. There’s also direct access to the Cosmo casino, with doors on both north and south sides (not that many seem to take advantage of this, if the casino’s numbers are any indication).
Other perks for condo and timeshare-unit owners include 75 daily pool passes, so that owners may use the main sun deck and the tennis courts at Cosmo, while the sale of the parking lots financed upgrades for all the Jockey Club suites, plus the health club. We’re guessing that the presence of a swanky new neighbor, which boasts multiple world-class restaurants and an award-winning nightlife scene, we’re guessing some other positive fallout for owners is a significant increase in the resale value of the timeshare units.
For those readers still curious about this vestigial anomaly that's surviving in the midst of all the modernization and megaresorts, check out the QoD Archives, where you can find much written about the Jockey Club's long and colorful history, including some of the notorious characters who used to frequent the place back in its heyday.
