Platinum Hotel & Spa includes a 16-story residential tower and a five-story, 238-slip parking garage on a two acre site at the intersection of Koval and Flamingo streets, one block east of the Bellagio, Bally's and Caesars Palace casinos. One of the first condo-hotels near the Strip, the $100-million project was 80% pre-sold when it received construction financing 21 months ago and sold out shortly thereafter. The condominium units are owned by individuals who may place their suites into the hotel program run by Marcus Hotels for a fee.

Marcus Hotels' additional stake in the public portion of the development was purchased from entities affiliated with developer Michael S. Peterson. The remaining 10% ownership of the public space is held by another joint-venture partner, Chicago-based Diversified Real Estate Concepts.

The units at the Platinum range from 911 sf to 2,166 sf and include a full kitchen, a balcony, a 42-inch HD plasma television, an oversized whirlpool bath, a fireplace, 24-hour room service, town car service and complimentary high-speed Internet access. Project amenities include indoor and outdoor swimming pools and a 4,500-sf rooftop terrace overlooking the Strip.

The units were reportedly sold for between $300,000 and $1 million each. In a recent SEC filing, Marcus said its 50% share of the development profit has been estimated at between $5 million and $7 million.

Las Vegas is the largest condo-hotel market in the country with some 28,288 condo hotel units in the development pipeline, according to Smith Travel Research. According to Lodging Econometrics, there currently are 74 condo hotels under construction nationwide. Another 45 condo-hotels are expected to go under construction in the next 12 months, and 39 are in the early planning stage.

Instant Insights /

Marcus Hotels Buys Out Platinum Partner

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