Realtor says CityCenter condo cost cuts not enough

Las Vegas realtor Bruce Hiatt, whose Luxury Realty Group deals in the high-rise condominium market, isn’t sure a 30 percent price reduction is enough to spur sales of CityCenter’s residential offerings.

MGM Mirage announced Monday the costs for 2,400 condominium units at CityCenter were being cut. Closings are expected to begin in January. The company said sales reservations have been taken on about half of the units with buyers putting down 20 percent of the costs.

But with the rest of the high-rise market also tumbling in value, Hiatt said CityCenter remains at the top of the price chart. The cost for CityCenter condominiums initially ranged from $500,000 for a studio up to $9 million for penthouses.

“I think the 30 percent price reduction, while a good move, may not be sufficiently discounted to be in line with recent (comparison prices) at Sky or Turnberry foreclosures,” Hiatt said in an email. “Those resale (comparisons) appear to be setting the real price points for luxury residential condos in Las Vegas.”

Hiatt called CityCenter a premium project, but other aspects might mean the prices may have to be further discounted.

“(CityCenter’s) lack of permanent parking spaces is one example of where further price adjustments may also be needed to be in line with current market pricing,” Hiatt said.