The Cosmopolitan of Las Vegas

At nearly $4 billion, this nearly 3,000-room spot sets out to redefine the Las Vegas experience. Will it?

Thursday, December 16, 2010
Glenn Haussman

It's show time. After five years, a foreclosure that gave the keys to Deutsche Bank in August 2008, a concept conversion from condo units to hotel rooms and nearly $4 billion in cash to build, The Cosmopolitan of Las Vegas finally made its grand debut yesterday. Oh yeah, and did we mention it's now the only hotel with amazing terraces that give you a feeling of hovering over The Strip or the fountains at Bellagio?

And it's a stunner. Adding an entirely new page to the architectural and design dialogue here in Las Vegas, The Cosmopolitan reverses the "bigger is better" trend of mega-casinos here by putting everything back to a human scale. Smaller, more intimate and more personal in feel than its casino brethren that debuted during the last five years, The Cosmopolitan sits in stark contrast to the other new additions on The Strip.

With interiors designed by hotel industry glitterati such as The Rockwell Group, Jeffrey Beers, Adam D.Tihany, The Friedmutter Group, SEED, Asfor Guzy, Studio Gaia, Bentel & Bentel and United, the property looks as if it's an idealized version of what we feel old school Las Vegas must have been like. It's a fantasy version of what never could have been yet it feels as if it's always been a part of the fabric of this city.

The building's design in rooted is color tones and designs of the 1930s and 1940s giving it a martini cocktail vibe mixed with design flourishes of the 1960s and modern era. And it works beautifully.

At an abbreviated press conference and ribbon cutting ceremony held yesterday executives gathered to launch what is most assuredly the last mega-resort that will open for many years to come. But for Deutsche Bank is stands as a testament to stick-to-itiveness they could even get the property open where so many other major resort projects failed or ceased construction in recent years such as the Fontainebleau, Boyd Gaming's Echelon, El Ad's Plaza Hotel, and more.

"We love Las Vegas and are so happy to be here. Welcome to the beginning of a new era, welcome to luxury redefined," said John Unwin, Cosmopolitan CEO. "We deliver it to you all 5,000 of us every day in a spirited and vibrant way that is crafted yet unscripted."

Built on 8.7 acres rather than the customary 80-100 acres the idea here is to go vertical. Not only does it help those poor old feet from walking a million miles every day, but helps craft a sense of intimacy not found in other resorts. Here each floor represents a different neighborhood of gaming, retail, or dining in small approachable clusters.

Other elements The Cosmopolitan include 2,000 rooms with a 1,000 more coming on-line next summer, a 100,000-square-foot casino; Sahra Spa & Hammam; three pools at The Pool District; Marquee Nightclub & Dayclub at The Cosmopolitan, a 60,000 square foot multi-level integrated nightclub; myriad restaurants collection; nine retail boutiques, 50,000 square foot spa, salon and fitness center and 150,000 square feet of convention and meeting space.

According to Unwin the target Cosmopolitan customer is part of the "curious class." That is, people that are interested in experiences and are creative by nature. Unwin told Hotel Interactive earlier this year more than 100,000 of these people visit Las Vegas annually and there about 59 million that fall into this psychographic nationwide. His goal is to lure new people to Las Vegas, especially those that have an interest in visiting Vegas at least once but haven't made it yet. "We know there is a big opportunity for this customer and this experience," he said.

To help get people in the doors The Cosmopolitan has a distribution agreement with Marriott's Autograph Collection. It's a smart move considering the resort isn't the latest addition in a family of resorts so there is no deep database in which to mine clientele. For those not in the know, the Autograph Collection is a portfolio of upper-upscale and luxury independent hotels and resorts. More important it gives Unwin and his team access to 33 million Marriott Rewards members, which should help level the playing field against some of the colossal gaming companies in town such as the newly rechristened Caesars Entertainment (formerly Harrah's) and MGM Resorts International.

How the resort will do in the long term is really anyone's guess at this point, but from the bones of the building to the highly trained solution-oriented staff it looks as if the odds are in their favor.

Tuesday, November 23, 2010

New York-based The ONE Group seduces the city by bringing its edgy steakhouse, STK, to the Las Vegas strip this December. With siblings in Los Angeles and Miami as well, STK Las Vegas arrives December 15, 2010, at The Cosmopolitan of Las Vegas with its high-energy and sexy vibe. The ONE Group has also named Stephen Hopcraft (Bravo's 'Top Chef' and Food Network's 'Chefs vs. City') as executive chef.

Aptly coined, "not your daddy's steakhouse," STK redefines the American steakhouse experience by combining the vibrant pulse of an upscale restaurant with the soul of a downtown lounge. When it comes to the meat of the matter, STK offers three separate plate sizes-Small, Medium and Large-providing portions that will satisfy appetites both petite and voracious. For example, diners may choose a 6-ounce Filet Medallion from the Small selection, a 16-ounce New York from the Medium, or a 24-ounce Porterhouse from the Large, all served with their choice of STK's signature sauces, including toasted peppercorn, lemon mustard, and herb béarnaise.

While the menu spares no expense on bringing premium cuts of meat to the table, Hopcraft will also offer an array of salads, seafood, and non-meat items sure to please any palate. STK has become known for signature side dishes such as Shrimp Rice Krispies, Foie Gras French Toast, Lil' Big Macs, Sweet Corn Pudding and Parmesan Truffle Fries.

"Las Vegas was the perfect next step for STK," says Jonathan Segal, CEO of The ONE Group. "Our concept is a lively steakhouse that intertwines great music, delicious food and cocktails, style, fashion and a sexy energy. It provides both the 'sizzle and the steak' which we all know is decidedly Las Vegas."

Designed by ICRAVE Studios (Koi, Asellina, Hyde and One), STK gracefully blends two concepts into one - the modern steakhouse with a chic lounge. STK Las Vegas uses natural materials to contrast the resort's chic urban feel. A large central lounge furnished with creamy leather banquettes and textured crocodile tiles is surrounded by an elevated dining room for more formal dining. Theatrical lights illuminate each table, and smoky mirrors allow patrons to catch a glimpse of the surroundings while a DJ creates an energetic vibe throughout the entire space. This location is the first to incorporate a gold hue to the traditional STK color palatte.

The cocktail program at STK integrates unique interpretations of classics, offering signatures creations such as the Not Your Daddy's Manhattan with Woodford Reserve Bourbon, Liquor 43, sweet and dry vermouth, as well as creative libations like the Strawberry Rhubarb Cobbler with rhubarb infused Finlandia Vodka, muddled fresh strawberries, and a graham cracker crusted rim.

STK Las Vegas is open seven days a week, Sunday through Wednesday, 5 p.m. - 12 a.m., Thursday from 5 p.m. to 1 a.m. and Friday and Saturday from 5 p.m. to 2 a.m. STK Las Vegas is located in The Cosmopolitan of Las Vegas, 3708 Las Vegas Boulevard South. Reservations can be made by calling 702.698.7990. For more information, visit www.stkhouse.com

ABOUT THE COSMOPOLITAN
On December 15, 2010, The Cosmopolitan of Las Vegas opens a unique luxury resort with a fresh perspective overlooking the heart of The Strip directly between CityCenter and Bellagio. The resort's uniquely vertical multi-tower design offers spectacular views of the vibrant city. The new 2,995-room resort features oversized residential-style living spaces with expansive, one-of-a-kind private terraces. The Cosmopolitan's luxurious resort amenities include a 100,000 square foot casino; Sahra Spa & Hammam; three unique pool experiences; Marquee Nightclub & Dayclub at The Cosmopolitan, a multi-level integrated nightclub and 150,000 square feet of state-of-the-art convention and meeting space. An eclectic line-up of new-to-market retailers include: AllSaints Spitalfields, Beckley, CRSVR Sneaker Boutique, DNA2050, Droog, Molly Brown's Swimwear, Retrospecs & Co, Skins 62 Cosmetics and Stitched. Signature restaurants include: Blue Ribbon Sushi Bar & Grill by restaurateurs Bruce and Eric Bromberg; Comme Ça by Los Angeles Chef David Myers; Estiatorio Milos, by international restaurateur Costas Spiliadis; Holsteins from Block 16 Hospitality; Jaleo and China Poblano restaurants by acclaimed Chef José Andrés; Scarpetta and D.O.C.G. by award-winning Chef Scott Conant; and popular steakhouse STK from The One Group.

Monday, September 13, 2010

Sin City casino resorts are girding themselves for more competition. Opening December 15, the oft-delayed The Cosmopolitan of Las Vegas will finally make its grand debut on the Las Vegas Strip. Nestled between MGM Resorts International's CityCenter and Bellagio resorts, The Cosmopolitan's executives are hoping to tap into the upscale gaming market that seems to be making a steady comeback.

"There is a lot of pressure on us to develop a strong program but we think it will be," said John Unwin, Chief Executive Officer, The Cosmopolitan of Las Vegas. "We talked a lot about the new definition of luxury and how people are still spending money, but it is about experiences vs. status. It is all about the price/value quotient."

Early word from industry insiders - that is, the resort complex's suppliers - is that The Cosmopolitan will be a triumph in design. And it better be, if its execs want it to compete in the city's upper echelon of properties. Unwin is keenly aware and incredibly confident his team has created a place that will succeed at the high end. "

"We have to operate in the premium tier. We are at the 50-yard line of [The Strip]," Unwin said. "We feel like we have a good program in our restaurants and price points and everything we are doing is new to the market."

For example, restaurant concepts include Jaleo and China Poblano restaurants by Chef José Andrés, Blue Ribbon Sushi Bar & Grill by restaurateurs Bruce and Eric Bromberg; Comme Ça by Los Angeles Chef David Myers; Estiatorio Milos, by international restaurateur Costas Spiliadis; Scarpetta and D.O.C.G. by award-winning Chef Scott Conant; and popular steakhouse STK from The One Group and Todd Miller. Added just last month was Holstein's, a new burger concept from local Las Vegas restaurateurs Billy Richardson, Kyle Madden and Chef Anthony Meidenbauer of Block 16 Hospitality (LBS Burger Joint at Red Rock Casino, Resort & Spa and Pink's at Planet Hollywood Resort & Casino).

But it will take more than food to make this concept fly. One cool aspect of the resort is that rooms will have balconies, something no other resort on The Strip features. The property is also considerably smaller than the typical footprint of a modern mega resort - even with its 3,000 rooms (1,000 will debut next summer). Unwin said the "much smaller" footprint will create a more intimate feeling and it won't take 40 minutes for someone to walk through the resort.

"The feeling you get when you are in your room is that it feels like a fantasy apartment in New York, Hong Kong or Tokyo. It has a very vertical big city cosmopolitan feeling. It's also less formal and more spirited and engaging. The idea is to not be pretentious," said Unwin.

Our take at Hotel Interactive on the newest Las Vegas resorts is that they have gotten so large they have lost all sense of human scale in some ways. Bigger is not always better and The Cosmopolitan looks to reverse the trend that every new resort must be larger than the ones that preceded it. Yet, the property will have the same amenities of its larger brethren.

"We have been working hard on this idea because customers have to feel good about the money they spend. They cannot feel taken advantage of, especially now," said Unwin, who added that the key to differentiating his property will be to change the workplace environment for staff. He is looking for a service experience that he said would be crafted not scripted, which can only be attained by hiring people that bring the right personality. "We want to have a place where people want to belong; that goes for both the staff and guests. Here you are joining something more than a job, and if we can create that will give us a competitive advantage."

According to Unwin the target Cosmopolitan customer is part of the "curious class." That is, people that are interested in experiences and are creative by nature. Unwin said more than 100,000 of these people visit Las Vegas and there about 59 million that fall into this psychographic nationwide. He is looking to lure new people to Las Vegas, especially those that have an interest in visiting Vegas at least once but haven't made it yet. "We know there is a big opportunity for this customer and this experience," he said.

Even with that strategy, filling 3,000 rooms nightly is a major challenge. The city added thousands of rooms during the last few years just as arrivals started to drop off. Additionally, The Cosmopolitan is an unknown brand and is not part of a larger company that has a deep database of existing customers.

So the company is partnering with Marriott International and has entered into a distribution agreement with the hotel company's Autograph Collection. For those not in the know, the Collection is a portfolio of upper-upscale and luxury independent hotels and resorts. More importantly, it gives Unwin and his team access to 33 million Marriott Rewards members, which should help level the playing field.

"Marriott International has the best engineered distribution system in the business. This gives us opportunity to utilize that system, as well as a great enterprise sales team of execs that will be selling our product to group and convention customers," said Unwin.

Marriott International's President & COO Arne Sorenson is equally bullish on this deal, he told us. "We are very thrilled to have them as the biggest hotel in our system. I think we have many customers interested in going to Las Vegas and us being able to welcome them to a hotel on The Strip is important. Additionally, of the group customers we have had over the years, many go to Vegas regularly. It has become a destination that belongs on the rotation of many meeting shops and this gives them something now center-Strip," said Sorenson.

The 50-story East and West towers will be comprised of oversized hotel and condominium-style rooms ranging in size from 730 square feet to over 5,400 square feet, in addition to ten three-story bungalow-style suites adjacent to the west pool deck. Contemporary bespoke room décor by David Rockwell will feature spacious living areas, luxurious bathrooms, and a hundred small but unique touches, many with expansive terraces overlooking the heart of the Strip. Each room features state-of-the-art technology control panels, plasma-screen televisions, entertainment system, wireless Internet and a custom in-room bar. The oversized bathrooms offer moments of unexpected tranquility combined with breathtaking views - Japanese soaking tubs, rain showers and marble floors complete the guest bath experience.

Purchased by Deutsche Bank out of bankruptcy in August 2008, The Cosmopolitan consists of 2,995 rooms; 110,00 square foot casino, nightclub and ultra lounge; 150,000 square feet of convention and banquet facilities; restaurants; 50,000 square foot spa, salon and fitness center; retail; and three pool environments.

August 26, 2010 - The Cosmopolitan of Las Vegas, opening December 15, 2010, announced today that they have entered into a distribution agreement with the Autograph Collection, Marriott International, Inc.'s (NYSE:MAR) portfolio of upper-upscale and luxury independent hotels and resorts. The Cosmopolitan of Las Vegas, a design-focused independent luxury brand, will be the Autograph Collection's first member resort in Las Vegas. The partnership will provide The Cosmopolitan of Las Vegas access to one of the largest databases in the hospitality industry, while offering strong and established relationships in the group and convention markets.

"This opportunity creates a powerful partnership for The Cosmopolitan and the Autograph Collection by aligning interests, broadening market share and driving growth. This platform enables us to build an iconic luxury brand at the heart of the Las Vegas Strip while simultaneously leveraging the 7th largest retail website in the world. The partnership also provides the Autograph Collection entry into the Las Vegas market," commented John Unwin, Chief Executive Officer, The Cosmopolitan of Las Vegas.

The Cosmopolitan of Las Vegas will introduce a new category in the Autograph Collection and will be the brand's largest property as well as the first casino resort. With an innovative perspective on luxury in the Las Vegas market, The Cosmopolitan of Las Vegas will be in good company with other Marriott brands including Ritz-Carlton, known for service and luxury, as well as EDITION, Marriott's new lifestyle brand developed with Ian Schrager.

Through this partnership, The Cosmopolitan of Las Vegas will benefit from full participation in the award-winning Marriott Rewards® guest loyalty program, which drives customers in the leisure, corporate and group markets. In addition, as part of the Marriott family of brands, The Cosmopolitan will also be featured as a partner hotel on The Ritz-Carlton website.

"Marriott has been looking for some time for an iconic property in the heart of the Las Vegas Strip and The Cosmopolitan exceeds our expectations for inspiring design, luxurious rooms and meeting space that will draw the world's top customers year-round," said J.W. Marriott, Jr., Chairman and CEO, Marriott International. "We're very excited to be working with The Cosmopolitan's ownership group and seasoned management team to raise the bar on the Las Vegas experience. Our new Autograph Collection delivers the power of our world-class sales engines while promoting the independence of The Cosmopolitan brand."

Situated at the heart of the Las Vegas Strip, The Cosmopolitan of Las Vegas is located at 3708 Las Vegas Blvd. South directly between CityCenter and Bellagio. The resort's uniquely vertical multi-tower design offers spectacular views of the vibrant city. The new 2,995-room resort features oversized residential-style living spaces with expansive, one-of-a-kind private terraces. The Cosmopolitan's luxurious resort amenities include a 100,000 square foot casino; unique and eclectic boutiques; Sahra Spa & Hammam; three unique pool experiences; multi-level integrated nightclubs and 150,000 square feet of state-of-the-art convention and meeting space. Signature restaurants include: Blue Ribbon Sushi Bar & Grill by restaurateurs Bruce and Eric Bromberg; Comme Ça by Los Angeles Chef David Myers;

Estiatorio Milos, by international restaurateur Costas Spiliadis; Holstein's from Block 16 Hospitality; Jaleo and China Poblano restaurants by acclaimed Chef José Andrés; Scarpetta and D.O.C.G. by award-winning Chef Scott Conant; and popular steakhouse STK from The One Group and Chef Todd Miller. For more information visit: www.cosmopolitanlasvegas.com. Follow us on Twitter at www.twitter.com/cosmopolitan_lv or find us on Facebook at: http://www.facebook.com/thecosmopolitan.

The Autograph Collection is an ensemble of high-personality and boldly independent hotels, each carefully selected for its distinctiveness and style. Together, the entire Autograph Collection takes the guesswork out of finding exceptional, unique non-chain hotels that are as original as the guest, and provides all of the benefits of the Marriott Rewards world-class loyalty program. For more details, visit www.AutographCollectionHotels.com

MARRIOTT INTERNATIONAL, INC. (NYSE:MAR) is a leading lodging company with more than 3,400 lodging properties in 70 countries and territories. Marriott International operates and franchises hotels under the Marriott, JW Marriott, The Ritz-Carlton, Bulgari, the Autograph Collection, Renaissance, Residence Inn, Courtyard, TownePlace Suites, Fairfield Inn, and SpringHill Suites brand names; develops and operates vacation ownership resorts under the Marriott Vacation Club, The Ritz-Carlton Destination Club, and Grand Residences by Marriott brands; licenses and manages whole-ownership residential brands, including The Ritz-Carlton Residences, JW Marriott Residences and Marriott Residences; operates Marriott Executive Apartments; provides furnished corporate housing through its Marriott ExecuStay division; and operates conference centers. The company is headquartered in Bethesda, Maryland, USA, and had approximately 137,000 employees at 2009 year-end. It is recognized by FORTUNE® as one of the best companies to work for, and by Newsweek as one of the greenest big companies in America. In fiscal year 2009, Marriott International reported sales from continuing operations of nearly $11 billion. For more information or reservations, please visit our web site at www.marriott.com, and for the latest company news, visit www.marriottnewscenter.com.

LAS VEGAS - The $3.9 billion Cosmopolitan of Las Vegas has started accepting room reservations for a Dec. 15 opening, hotel officials said Wednesday.

The company said in a separate regulatory filing that it planned to spend $1.1 billion during the last nine months of 2010 to finish the 2,995-room casino-resort on the Las Vegas Strip.

Company officials said that includes $800 million for construction and $284 million for furniture, fixtures and other equipment.

The filing with the Securities and Exchange Commission said it spent $164.4 million on capital expenses during the first quarter ending March 31, mostly for construction.

The Cosmopolitan said it had $3.1 million cash on hand and $2.2 billion available from a $3.9 billion credit facility as of March 31.

The hotel's website is advertising opening night room rates starting at $300.

The two-tower resort will open without 987 of its rooms, with most of them opening incrementally through July next year. Cosmopolitan CEO John Unwin has said the delay will give more time to finish interior work and move furniture.

The company said Wednesday that 19 rooms would open after July 2011, when "management deems appropriate."

The 8.7-acre development is expected to be the last new Strip casino for at least a few years. Other projects, including the Carl Icahn-owned Fontainebleau Las Vegas and Boyd Gaming Corp.'s Echelon, are on hold indefinitely as their owners wait for more favorable market conditions.

Operators have lowered room rates in Las Vegas as they fight to attract tourists to existing casinos.

Owner Deutsche Bank paid about $1 billion for the half-finished development in August 2008 after its previous developers entered foreclosure. The German bank decided to finish and open the resort.

Officials say The Cosmopolitan of Las Vegas resort opening this year on the Las Vegas Strip will include restaurants from chefs Scott Conant and David Myers as well as restaurateurs Bruce and Eric Bromberg and Costas Spiliadis.

The Cosmopolitan said Tuesday that its nearly 3,000-room resort would include restaurants Blue Ribbon by the Bromberg brothers, Comme Ca by Myers, Estiatorio Milos by Costas Spiliadis and Scarpetta and a casual wine bar by Conant.

The resort, in between the Bellagio hotel-casino and MGM Mirage's CityCenter, is expected to open late this year.