From Las Vegas Review-Journal
$636 million Badlands tentative settlement agreement OK’d by Las Vegas City Council
An aerial view of the shuttered Badlands Golf Course, on Tuesday, Oct. 22, 2024, in Las Vegas. (Bizuayehu Tesfaye/Las Vegas Review-Journal) @bizutesfaye© Bizuayehu Tesfaye/Las Vegas Review-Journal/TNS
The Las Vegas City Council unanimously approved a $636 million non-binding agreement over the fate of the failed Badlands golf course, a significant step in ending a yearslong legal battle with a developer who wanted to build homes on the defunct course.
The seven-member Las Vegas City Council voted to approve a settlement, mutual release, and purchase and sale agreement with the companies 180 Land Co., Fore Stars and Seventy Acres. Ultimately, the settlement would cost the city $286 million.
“The City Council’s unanimous vote this morning regarding Badlands is a major step forward in reaching a final settlement in the ongoing litigation,” the city of Las Vegas said in a statement. “While the terms approved are nonbinding, and will require more work to finalize some remaining details, this item shows a willingness by all parties to bring this long-running issue to a conclusion.”
The city tentatively agreed to purchase the Badlands property for $636 million — paid for by the city’s liability insurance and property damage fund — then sell the property for $350 million to Lennar Homes through simultaneous escrows, with everything expected to close on March 19, 2025. The remaining $286 million will stay with EHB Cos. to settle the litigation, according to staff reports.
If the agreement goes through, Lennar Homes would be able to build approximately 1,750 residential units on the property, according to the staff reports.
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EHB and Lennar signed non-binding term sheets, City Attorney Jeff Dorocak said in the meeting. Las Vegas Mayor Shelly Berkley and City Manager Mike Janssen are authorized to execute the final agreements. The city manager and city real estate division are also authorized to execute any necessary real estate documents related to the transaction outlined in the agreement.
If there are any differences in the final agreements, they will be brought back to the City Council for approval. The attorney’s office does not expect any material changes to emerge from any of the parties involved, Dorocak said.
The parties are polishing the final details of the agreements this week, Dorocak said.
The council voted to hold an agenda item in abeyance until Feb. 3 to allow the city the ability to reconsider another settlement in case final details cannot be worked out with Lennar or the developer.
The longstanding dispute between the city of Las Vegas and developer Yohan Lowie revolves around Lowie’s plans to turn the failed 250-acre golf course into an expansive housing project. Lowie previously built One Queensridge Place and Tivoli Village.
Lowie bought the course in 2015 with the intention of building an expansive housing project there, but neighboring residents opposed the project. The city granted land entitlements, but building plans stalled over whether zoning allowed for housing.
EHB Cos., of which Lowie is the founder and CEO, alleged in lawsuits — broken up by parcels in the name of separate companies — that the city’s action effectively “took” the property by denying EHB’s ability to build there. Multiple judges have agreed, awarding the developer $285 million for three of the four cases. A fourth case has been resolved, with the city paying EHB $64 million for a 35-acre section of the larger area after a city’s appeal was rejected by the Nevada Supreme Court.
At the Las Vegas City Council meeting, tension was felt between some of the members. Councilwoman Victoria Seaman, whose ward contains Badlands, wanted to make the motion to approve the agreement and read a statement, but the call to vote was pushed forward by Mayor Pro-Tem Brian Knudsen.
“It has been a long and arduous journey to reach this point,” Seaman said in her statement, which she provided to the Las Vegas Review-Journal. “Throughout my tenure I have consistently advocated for a settlement, as I believe it serves the best interests of the taxpayers. Today we have the opportunity to approve a term agreement to begin the process to settle Badlands.”
This is a developing story. Check back for updates.
Contact Jessica Hill at jehill@reviewjournal.com. Follow @jess_hillyeah on X.
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