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MGM Resorts reaches settlement with contractors who designed flawed tower

By now, you’ve probably heard all about Revel, the famous Atlantic City jewel of a hotel that was supposed to help reinvent Las Vegas. It opened its doors in 2012 and closed its doors this year, barely staying open for two years.

There was nothing wrong with the property. It’s iconic. It’s well built. It’s attractive. But it wasn’t managed very well, and it couldn’t attract the right mix of casino players to stay afloat.

But this story isn’t about Revel. Nor is it about Atlantic City. It’s about another hotel in a gambling mecca that didn’t materialize and reach its potential – but for an entirely different reason.

A City Center tower should be welcoming all sorts of guests today, but construction stopped in 2008 when inspectors discovered that steel used on the first 26 stories of the tower couldn’t support the next 22 floors. While the remaining towers in the $8.5 billion development opened in 2009, that one shiny glass tower never opened.

innermgm17122014It’s called The Harmon and it was supposed to be a really nice boutique hotel/condo. But the condominium began its deconstruction process this summer and the dismantling of the property continues today.

The decision was made back in 2001, after a report by an engineering firm revealed that the building would likely collapse in the event of an earthquake.

MGM Resorts International ended up suing the contractors involved in the construction of the property, and this week a settlement was reached with six of the seven contractors for $500 million.

I’m glad that a settlement was reached, but I’m not 100% sure how it’s possible that such a major construction flaw went unnoticed for so long. The construction flaw should have been discovered before the shovel hit the ground. After all, building hotels and condos isn’t exactly something new.

Hopefully this type of oversight won’t happen again in Las Vegas, or anywhere for that matter. And if it does, hopefully an engineering firm will be there to stop construction in its tracks. After all, staying at a Las Vegas hotel that could crumble below my feet is one gamble I don’t want to make. In any case, if you’re not even closed to Atlantic City or Las Vegas, CoolCat Casino is only a few clicks away! Why don’t you come and pay us a little visit?

Laura Barton

Laura Barton is a self-declared "adventurer". Highly energetic and unpredictable, you will never find her without something to read on her hands. She loves casinos, after all it's in her blood: her father was a Las Vegas mogul and a former owner of some of the largest casino entertainment chains in the US. Loves rock climbing, surfing and playing drums.