Thursday, 29 September 2016
Last updated 2 hours ago
Aug 9 2012 | 1:46pm ET
John Paulson made his name—and his fortune—betting on a collapse in the real-estate market. Now, he’s betting on a revival in one of the U.S.’s hardest-hit, but fastest-growing, markets.
Paulson’s hedge fund has bought up more than 875 acres of the Lake Las Vegas resort—most of the remaining undeveloped land in the community in Henderson, Nev., 20 miles east of the Las Vegas Strip. Paulson & Co.’s Real Estate Recovery Fund paid $17 million for land.
Paulson’s bet on a turnaround in Las Vegas comes as the region’s inventory shrinks and home prices rise. What’s more, vacant lots are at a premium in the area, with few for sale.
Lake Las Vegas is built around an artificial lake and features two hotels, a golf course and, of course, a casino. There are already 1,800 homes on the 3,600-acre site.
Lake Las Vegas’ master developer filed for bankruptcy in 2008.