Stalled Dream Vegas Casino Site Listed For Sale After Legal Battle

The long-delayed Dream Las Vegas casino resort project on Las Vegas Boulevard, near Russell Road, has officially entered the market for sale. This comes after litigation over unpaid construction fees. Former lead contractor McCarthy Building Companies, which assumed ownership of the 4.7-acre southern Strip parcel after settling the dispute, is using Colliers International to broker the sale.

Though no formal asking price accompanies the listing, Colliers’ Las Vegas chairman, Mike Mixer, confirmed that unsolicited buyer interest in the $50 million range is guiding valuation discussions for the unfinished development site.

Development Potential

The stalled Dream Las Vegas project initially envisioned a 20-story boutique hotel with 527 rooms just south of the iconic “Welcome to Fabulous Las Vegas” sign. Launched in mid-2022, the development sought to offer a mid-sized alternative in an area dominated by megaresorts. Work halted by mid-2023 amid funding issues, though $123 million had already been spent on site grading, basement excavation, and utility installations, per developer reports to Clark County.

Colliers’ Mike Mixer emphasized the site’s “shovel-ready” status, noting approved permits allow new owners to resume construction without bureaucratic delays. The parcel sits approximately one mile from both Allegiant Stadium and the Athletics’ anticipated ballpark. However, brokers clarified that the Dream branding has been discontinued.

Financial Disputes Halt Progress

The Dream Las Vegas project collapsed under escalating contractor debts, with McCarthy filing a $40 million lien in March 2023 for unpaid work. Multiple subcontractors, including electrical, steel, and drilling firms, followed with their own claims. Developer Bill Shopoff confirmed construction had “fully stopped” during financing renegotiations, acknowledging $25 million-$30 million in outstanding payments.

McCarthy later sued the ownership group, alleging developers halted payments “due to an alleged lack of funds” while touting unfunded loans. An August settlement transferred site ownership to McCarthy. Contour’s David Daneshforooz claimed he presented a $50 million buyer but said McCarthy countered with a $52 million debt figure, stalling negotiations. The contractor acknowledged the “significant interest in the property” but declined to address specific offers.

Regulatory and Boundary Challenges

The project also faced aviation-related redesigns after the Transportation Security Administration and major airlines raised safety concerns about its proximity to Harry Reid International Airport. A Boundary conflict also arose when the adjacent Pinball Hall of Fame was found to be encroaching by eight feet onto the site, attributed to surveying error, and later resolved out of court.