CityCenter Tower Stirring Legal Battle on Strip

By Alex Girda, Associate Editor The troubled Harmon building has spawned a serious legal dispute between owner MGM Resorts International and CityCenter on one side and general contractor Perini Building Company. The subject of the dispute is the faulty construction of [...]

The troubled Harmon building has spawned a serious legal dispute between owner MGM Resorts International and CityCenter on one side and general contractor Perini Building Company. The subject of the dispute is the faulty construction of MGM’s 26-story resort in CityCenter. The massive construction was inspected by engineers three years ago and was found to have severe structural problems which, according to MGM, are the result of poor workmanship by Perini. The $200 million lawsuit is concerned with that value in contractor claims for work done on CityCenter. The current situation is a stand-off between the two entities, both of which are currently engaged in sending letters to the press regarding the mistakes the other party has made until now.

After being ordered by the county to conduct an inspection on the Harmon tower, MGM recently contracted a firm to conduct the necessary investigations. The report given by that firm showed a catastrophic result: the building would not be able to hold, should an earthquake hit the area, VegasINC magazine reports. MGM has forwarded the report to the county and is now awaiting further directions from the authorities. Perini defended itself by stating that MGM had been stalling repairs on the building for two years and that because of the current economic climate, the company has had no intention in finalizing the building. The two remain locked in legal battle, with the tower waiting to be either repaired or (more unlikely) to be torn down.

In other real estate news, a formerly foreclosed on property namely Stallion Mountain Golf Club has been bought and is set to be reopened. The course, which sold for $3.8 million, will be reopened in an announced timeframe of 30 days. The buyer, Tartan Golf of Colorado, acquired the property from the Federal Deposit Insurance Corp. Tartan considers the deal a bargain especially considering the large number of tourists who flock to the area compared to the current number of active golf courses available to the city of Las Vegas, VegasINC notes.