A judge cleared the way for the sale of Las Vegas’ Hughes Center office park, after the seller disclosed the deal but hid the price from public view.
District Judge Maria Gall on July 28 approved a motion by court-appointed receiver Logic Commercial Real Estate to sell the once-prominent business park a mile east of the Las Vegas Strip, court records show.
The sale, to Borden Industries, is expected to close around September, according to the motion by Logic in Clark County District Court.
As part of her order, Gall approved the purchase agreement and authorized Logic to close the sale, court records show.
The deal would put a new landlord in charge of a property that was once widely viewed as Las Vegas’ top office district — a place that was packed with white-collar workers but now has widespread vacancies.
But for now, at least, court filings do not show how much Borden is paying.
‘Difficult to see how such details would benefit public knowledge’
The sales price was redacted from the purchase agreement filed in court last month, and Logic submitted a motion to seal the terms of the deal.
Attorneys for Logic claimed the “highly sensitive and confidential nature” of the document “pertains to a yet to close significant real estate transaction, including financial terms which are still being negotiated and finalized,” court records show.
They also argued that outsiders aren’t interested in the terms of the deal.
The attorneys, with law firm Duane Morris LLP, wrote in court papers last month: “The public has very little interest in this information, as it is difficult to see how such details would benefit public knowledge or understanding of this lawsuit pertaining to the appointment of the Receiver.”
Plus, they argued that releasing this information publicly “could result in misuse, potentially harming the interests of the parties involved, and put the deal in jeopardy.”
In Clark County, once a real estate sale has closed, the purchase price is routinely public information, as it’s listed on the deed that records the transaction with the county.
$347M sale
The Hughes Center, at the intersection of Flamingo and Paradise roads, has nearly 1.4 million square feet of office space, spread among several buildings.
Las Vegas doesn’t have a traditional big downtown office market — its skyline is filled with towering hotel-casinos – and the Hughes Center was long viewed as the city’s top office district. It used to be filled with lawyers, accountants, commercial real estate brokers, and others.
New York investment giant Blackstone acquired the office park in 2013 for $347 million. But the complex eventually lost waves of tenants to newer high-end buildings in the less-congested suburbs, especially the southwest Las Vegas Valley and Summerlin.
By 2023, the landlord had reportedly stopped making payments on its $325 million loan for the Hughes Center, and in 2024, District Judge Susan Johnson appointed Logic as receiver to take control of the property.
‘Next premier destination’
Brokerage firm CBRE Group — one of several firms that moved out of the Hughes Center in recent years — announced last fall that it was hired to find a buyer for the office park.
According to a court filing last month by Logic, around 61 percent of the Hughes Center’s office space is vacant.
The property also has about 98,000 square feet of retail, and nearly 85 percent of that is occupied, the filing showed.
Borden Industries founder Michael Borden is a former top executive with Las Vegas data-center owner Switch, which is led by his brother, Rob Roy.
Overall, his business interests include manufacturing, biotechnology, nuclear power, and military technology, according to Borden Industries’ website.
The site also lists, as part of Borden’s portfolio, the “Howard Hughes Corridor” and describes it as “In Closing.”
Borden aims to transform the property “into the next premier destination for residents and visitors alike,” the website declares.
“We are prepared to deliver a visionary, economically impactful, and community driven redevelopment that reflects the future of Las Vegas,” it says, without elaborating.
Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342.
