The redevelopment of Cashman Center inched another step closer to reality Wednesday when the Las Vegas City Council approved an updated memorandum of understanding with the Las Vegas Convention and Visitors Authority.
Why that matters: The new MOU sets the stage for the tourism agency to transfer Cashman Center back to the city of Las Vegas. The authority currently owns and manages the roughly 50-acre complex that houses the Las Vegas 51s baseball stadium and convention space.
“This is a very large-scale asset,” Scott Adams, the deputy city manager, told the City Council. “This is a big deal.”
An existing MOU between the city and tourism agency was set to expire in August, heightening the urgency of ongoing conversations among stakeholders about what to do with property. It poses potential benefits to both entities — relieving the tourism agency of more than $4 million in losses per year, while providing the city with tax revenue if the area is redeveloped by private companies.
The owners of the 51s openly have expressed a desire to move the Triple-A affiliate of the New York Mets to a new stadium in Summerlin. The team’s lease with Cashman doesn’t expire until 2022, but it includes a clause allowing cancellation with a two-season written notice.
Under the new MOU, the city agrees to explore redevelopment plans for the property and solicit possible developers — in essence, an extension of what it already has been doing.
“The analysis will include, but not be limited to, major sports league facilities, an urban medical center, a mixed-use urban village, a civic/government center, cultural facilities (museums/arts, etc.), or an educational or university campus,” the agreement states.
Adams, however, said the most likely scenario seems to be “a stadium-centered, mixed-use development” project — similar to what’s envisioned for the site in the city’s new downtown master plan.
The new memorandum also includes a transfer agreement, which outlines how the property would be returned to city control. If the 51s announce the baseball team’s departure, that would trigger the property transfer and set in motion a series of events, including a 60-day investigative period for an environmental review and property assessment.
The city could accelerate the property transfer if it needs to do so during the redevelopment-planning process, Adams said. In that case, the city would become the landlord for the baseball team during its tenure at Cashman.
The transfer agreement stipulates that the city would be accepting Cashman in its current physical condition. Adams said information provided to the city indicates no major physical problems.
An LVCVA-commissioned appraisal last year valued the complex at more than $21 million. The city has estimated that demolishing the complex would cost $5 million, Adams said.
The new MOU would expire in two years but allows for four one-year extensions — roughly the amount of time left on the 51s’ lease.
The City Council voted unanimously to approve the updated MOU and transfer agreement. The LVCVA’s board of directors, which is meeting next week, must also approve the agreement before it goes into effect.
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