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Aladdin Lacks Certificate

12 November 2002

by Jeff Simpson

LAS VEGAS -- More than two years after its August 2000 opening the bankrupt Aladdin has yet to get a permanent certificate of occupancy from Clark County building officials.

The delay is "unusual but not unique," said Clark County building official Ron Lynn, who noted that The Venetian also had an extended delay before it received a permanent certificate of occupancy.

Most properties receive the permanent certificates before opening or shortly thereafter, but procedural complications have prevented the Aladdin from getting the county's final OK.

"If this was a safety issue we'd have started stepping up the enforcement a long time ago," Lynn said. "But these are process related, and no one's safety is compromised."

The Aladdin megaresort is divided into six separate parcels, Lynn said. The Desert Passage mall and the parking garage are two of the parcels; the rest of the 2,567-room hotel and casino is divided into the four remaining parcels.

Each of those parcels is, in theory, subject to being sold separately, Lynn said. The Clark County Department of Development Services must have plans explaining how people can get into and out of the six parcels in an emergency.

The Aladdin must also have a mechanism in place to advise the department of changes, including when parcels change ownership, he said.

Customer safety and the structural integrity of the building are sound, Lynn noted.

The Aladdin has remained open since Aug. 18, 2000, on its temporary certificate of occupancy.

Aladdin executives, architects and county officials have worked since the opening to resolve the issues, but the complicated process has been time-consuming, Lynn said.

From a practical point of view, Lynn said Aladdin officials could get a permanent certificate of occupancy if they submit new architectural drawings and a summary document explaining the drawings, Lynn said.

The lack of certificate could make it harder to peddle the Aladdin, Lynn said.

"The buyer's going to inherit these conditions," he said.

Aladdin executives didn't return phone messages.

Aladdin lawyers have until Dec. 2 to file a sales-procedure plan with Bankruptcy Judge Clive Jones, who last month gave Aladdin bosses until Jan. 30 to try to get the support of the property's creditors for a sales plan.

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