In this corner, Glen, Smith & Glen (GSG) Development, developers of the Sullivan Square high rise condo project in Las Vegas. In the opposing corner, Harcourt Developments, a private company from Dublin, Ireland, which is financing the mixed use project to the tune of $800 million. Let the lawsuit begin!
The winner? Who knows?... The loser?: Sullivan Square condo purchasers and the entire Las Vegas high rise condo market in general.
GSG's lawsuit against Harcourt alleges breach of contract for failurre to perform funding obligations. They allege Harcourt is trying to take control of the project and build it themselves without GSG's participation.
That's a bad sign. But what's even a worse sign is that two additional lawsuits and eight liens amounting to more than $2 million have also been filed against Sullivan Square with more than $2 million owed in back payments to consultants and vendors who already have gotten Sullivan Square out of the ground. Harcourt has sent a letter to subcontractors assuring them that Sullivan Square would start vertical construction in July and everybody would be paid, even though no contract has been signed.
Developers, developers, developers... (and political candidates). Who do we believe? I believe this news signals a death toll to this project, but perhaps July will come and vertical construction will start. I've always liked this project, both design-wise and price-wise, but I'm not holding my breath at this point. Besides, with great deals on Panorama, Sky Las Vegas, Trump, and many MANY other high rise condos in Las Vegas both on the strip and downtown, let's not lose any sleep over this...
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