Well, some of these penthouse units are really overpriced. I mean, 6-10 million dollars for what essentially is a 3 bedroom apartment (example, Mandarin Oriental), even the super rich know that you can buy a castle in Vegas with all that money.
In addition, most condo owners are buying these units as vacation houses. Not only they may not use it most of the time during the year, they may not need more than 2 bedrooms or even a penthouse location. I think the people who are buying the multi-bedroom penthouses are people who will use it as primary residence, and there aren't many people that rich in Vegas.
And for the rich people that do live in Vegas, they may opt for a house or wait a while to fully assess the true value of these penthouses. This is a substantial investment even for the rich, they can't just casually throw a couple hundred-dollar bills like they do when they shop for cars and vacation homes. So it takes time.
__________________
I am the picture guy---A Picture is Worth a Thousand Words.
Last edited by philip; Apr 15, 2007 at 6:21 PM.
|