Vegas has truly beome an inflation supported city, as Bernanke's QE2 starts making its way through the system, I fully expect the city to show a rapid rebound. Conventions will be big again and the demand to hold cash will reverse from being very high to just the opposite. And when you want to get cash out of your hands quickly, Las Vegas is the place.
Bottom line: I'm bullish on the future for Vegas, but right now it's pretty ugly. Here's more from the Sun:
Before the recession, in measurements analyzing 1993 through 2007, Las Vegas ranked No. 14 in the world among 150 metropolitan areas studied by the Brookings Institution and London School of Economics.
Las Vegas fell to 128th in the rankings during the recession in 2008 and 2009, and since the recovery has begun, its ranking has fallen to 146th. That’s better than only Dublin, Ireland (150); Dubai (149); Barcelona, Spain (148); and Thessaloniki, Greece (147)...
The report said the patchy recovery that took hold in most U.S. cities in 2009 and 2010 didn’t happen in Las Vegas. The city’s income levels declined 1.2 percent despite an increase nationally, and the employment rate dipped 3 percent, much greater than the national decline of 0.7 percent.Sounds like a buying opportunity to me.
The report also cited Las Vegas’ foreclosure problem with the second highest share of bank-owned homes in the country and more than two-thirds of residential mortgage holders owing more than their homes are worth.