Rising at Las Vegas Boulevard and Harmon Avenue, the developmentincludes 3,000 condo-hotel units Hyatt; 300,000 sf of retail; a75,000-sf casino; an 1,800-seat theater; 150,000 sf of meetingspace; multiple night clubs; a five-acre "beach club" and; a3,900-space underground parking garage. The condo-hotel units areto be housed in a pair of 53-story, 600-foot-tall glass andconcrete towers atop a five level podium that will house thecasino, meeting space and theater. The retail space is slated tofront the Las Vegas Strip and be filled with brand-name retailshops. Hyatt Hotels Corp. was named the future operator of theresort in 2005.

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The developer is 3700 Associates LLC, which is led by Ian BruceEichner, a well-known developer in Miami and New York, and gamingdeveloper David Friedman, who helped finance and develop theVenetian. Their money partner is an affiliate of Dune CapitalManagement LP, which is controlled by Steven Mnuchin, the formerCEO of SFM Capital Management LP, a Soros Fund Management LLCaffiliate. Dune provided the majority of the capital to, and is themanaging member of, 3700 Associates.

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Eichner said in a statement sent to GlobeSt.com that hiscompany, 3700 Associates LLC, was working with Deutsche Bank andMerrill Lynch to find new investors and that conversations areongoing. "This action by our lender comes as no surprise," Eichnersaid. "With the current challenges within the real estate and debtcapital markets, which are out of our control, being felt acrossthe country, we both anticipated and planned for this."

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The project went vertical in April. Perini says itis in discussions with the developer and lender to facilitate anorderly continuation of construction of the project. As ofyear-end, work remaining to be performed under the constructioncontract totaled approximately $1.4 billion. "Pending the outcomeof these discussions, the company is unable to determine thefinancial impact, if any, at this time," Perini says in astatement.

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