Awaiting Approvals, M Resort Unveils Eateries

Today, the Nevada Gaming Commission is scheduled to vote on several key applications related to the development. The developers are seeking their non-restricted gaming license, approval to grant 50% equity to MGM Mirage pursuant to its convertible note agreement, and approval to pledge its membership interest in M Resort LLC to, and grant a possessory security interest to, Bank of Scotland plc in conjunction with a credit agreement.

Bank of Scotland is the construction lender for the project. MGM Mirage helped kick-start construction with a $160-million subordinated note that was eligible for conversion into a 50% equity interest as of October. Marnell's father, Anthony Marnell II, handled the design and construction of M Resort through his firm Marnell Corrao Associates, which previously built Wynn Las Vegas and Bellagio.

Boasting commanding views of the region, the development is anchored by a 12-story tower and podium that houses approximately 351 hotel rooms and 39 suites; 90,000 square feet of gaming space; 60,000 square feet of meeting and conference facilities; a 23,000-square-foot spa; a 2.3-acre pool and events area with fire and water features; a wine cellar and tasting room; and the aforementioned food and beverage outlets, many of which will line the terraces overlooking the resort's pool and events area.

The restaurants include Studio B, which features a live-action cooking studio; Marinelli's, which will serve authentic Italian dishes; Terzetto, a steak and seafood place with an oyster bar; Veloce Cibo & Bar Veloce, the top-floor restaurant and lounge; Red Cup Café, an art-deco inspired 24-hour eatery serving Asian and American food; Hostile Grape, a wine cellar, bar and tasting room; Baby Cakes, a European-inspired patisserie; Vig Deli, an eatery next to the sports book; and Piazza Grille, a casual outdoor restaurant.

The built environment, including a 2,000-slip parking garage, cover less than 15% of the approximately 95 contiguous acres controlled by Marnell III. The overall property has been entitled for 6,000 hotel, condo and condo-hotel units and 1 million square feet of retail.

In December 2007, Marnell III struck a deal with Galaxy Theaters for a 14-screen, 63,000-square-foot theater that is slated open in late 2009 atop the development's parking garage. In May 2008, during the International Council of Shopping Centers annual convention, Marnell and publicly held Taubman Centers revealed plans to integrate a 1.3-million-square-foot, department store-anchored shopping mall into the resort that would open in 2011 or 2012. That timeline is now up in the air given the recession.