Steve Wynn has had an amazing journey as a real estate developer that began in his early twenties when he came to Las Vegas. Still on his journey, Mr. Wynn's iconic properties include the Wynn and Encore resorts in Las Vegas and Macau, the Wynn Palace on the Cotai Strip in Macau and a development underway in Everett, Massachusetts. Humorously stating that he has been more lucky than smart, he candidly recounts the series of amazing experiences, coincidences and opportunities upon which he built his success.
In his early twenties on the East Coast, Mr. Wynn had wanted to become a commercial real estate developer. He had identified a commercial property for sale within proximity of an airport upon which he wanted to build an industrial park. Although he could not get a real estate loan for his project, the contact he made sent him on a trip to Las Vegas. His purpose was to represent Bankers Life and Casualty on a commercial lease transaction of a hotel and casino property they had acquired. The property was The Last Frontier Hotel, which was the second hotel on the Las Vegas Strip, after the El Rancho Vegas.
On the way to Las Vegas, at the Ruby's Dunes Restaurant in Palm Springs, the young Mr. Wynn found himself seated at a table next to Frank Sinatra. Conversation ensued, and Mr. Wynn, in his early twenties, found himself to be the guest of Frank Sinatra at the Sands Hotel in Las Vegas. After a VIP evening at the Copa Room and the Sands' lounge among stars such as Lucille Ball and Elisabeth Taylor, and after being entertained by the legendary Rat Pack, Steve Wynn decided to make his future in Las Vegas.
Raising Money for Real Estate Investment
Mr. Wynn's future would be no less remarkable as he would find a father figure in a local business man and banker, Perry Thomas. After his experience with the Last Frontier Hotel, Mr. Wynn became involved in the beverage distribution business, but Mr. Wynn would soon set his sights back on the real estate business. Mr. Wynn came across an interesting commercial property next to the Cesar's Palace hotel on the Las Vegas Strip. Perry Thomas would help Mr. Wynn obtain a real estate loan. He was then able to buy the commercial property which he would turn around and sell to Cesar's at a million dollar profit less than a year later. He was only 29 years old.
The Golden Nugget
The profit from this transaction gave Mr. Wynn the capital he needed to embark on his career in real estate development. He would first acquire a controlling interest in the Golden Nugget in downtown Las Vegas which he redeveloped and increased in size by adding hotel rooms. Under the Golden Nugget brand, Mr. Wynn would also enter, and prophetically exit the Atlantic City market.
The Las Vegas Strip
With his understanding of the business, he would break the barriers of investment in Las Vegas with the Mirage hotel, which opened the doors for the billions of dollars of capital that came to Las Vegas in the following decades. He would expand the thresholds of capital investment in Las Vegas again with the Bellagio hotel.
His current properties include the Wynn and Encore in Las Vegas and Macau. Current developments include the Wynn Palace on the Cotai Strip and the Wynn Everett outside of Boston, Massachussetts.
1. How much cash will be required to make your mortgage payments? Debt Service >>
2. Who can you go to to finance your construction or development project? Construction Lender >>
3. What professional can assist you in maximizing the value of your investment property? Asset Manager >>
4. How can we assess future commitment to infrastructure to support our communities and future development? Capital Improvements Projects >>
5. What measurement indicates if a property's financial performance can cover its debt? DSCR >>
6. What part of a city is the center of urban economic development? CBD >>
7. What allows property owners and professionals to estimate the market value of a commercial property? Comparable Property >>
8. What can landords do to entice prospective tenants? Concession >>
9. What critical factor do stores depend on to drive traffic? Anchor Tenant >>