The Biggest News That No One Is Talking About – happens to be the Zappos.com takeover of Las Vegas City Hall for their corporate headquarters. Why have I yet to see even one major Las Vegas blog talk about the impact? Who, what… who cares? You should. Here’s why:
Zappos.com employs 1000 people and they are growing. These employees tend to be younger and obviously have paychecks. With a new Las Vegas City Hall under construction, Zappos will be taking over the old building (on block off of the Fremont Street Experience) for their headquarters.
Despite the bad economy, downtown Las Vegas has slowly but surely been undergoing a revitalization. The new East Fremont district has gained a nice reputation. First Friday is established. The Golden Nugget opened a new tower about a year ago. The El Cortez had a major makeover a couple of years ago and continues improvements. The Plaza Las Vegas is currently in the process of MAJOR upgrades and improvements to their rooms.
However, downtown still has somewhat of a run-down image. With justification. Many of the properties simply have not had the cash to reinvest. Here’s where Zappos employees come in:
Seven days per week, Zappos employees are going to get off of work downtown. They will grab a drink. They will eat. They will leave their money downtown (plus add to an already lively scene). This infusion of people and cash will help provide the profits and incentive for ALL downtown businesses to step up their game. They will have the money to fix-up and upgrade.
I’m not saying that downtown Las Vegas will ever compete with The Strip. Nor should it. To build billion dollar resorts, you have to charge customers high prices to recoup the cost. Las Vegas continues to need the lower-price, lower-frills option downtown has offers. I don’t anticipate that changing. But wouldn’t it be nice to see some of the older downtown properties spruced up a bit? New life into them with the influx of more customers? This arrangement between the City of Las Vegas and Zappos is a winner for all involved and a huge win for downtown in general.