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Clark County Commissioners Tuesday To Decide Gypsum-Rhodes Housing Project Settlement That Would Allow 3,500 Homes On Blue Diamond Hill Near Red Rock, Plus Pay $80 Million To Developer

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By Alan Snel, LVSportsBiz.com Publisher-Writer

Only in Clark County in metro Las Vegas would a proposed housing sprawl of 3,500 homes near the region’s natural outdoor jewel of Red Rock Canyon plus an $80 million payment to the developer be considered a compromise deal.

But remember, this is the same Clark County that gave away 3.8 miles of public roads, including a big section of the iconic Strip, to a road race promoter for a 90-minute race last November without even negotiating a nickel in compensation from race organizer Formula One.

After two decades of lawsuits, legal disputes and nasty squabbles with a healthy dose of county commissioner drama, Clark County has declared, no mas, and its staff is poised to explain to the county’s seven-member governing board Tuesday a proposed settlement agreement for the highly-controversial housing development at Blue Diamond Hill near the federally-managed Red Rock National Conservation Area.

The 3,500 homes would be allowed to be built on 2,400 acres on the north side of State Highway 159 about 1.5 miles west of the intersection of State Highways 159 and 160 (which is also Blue Diamond Road). The county commissioners will be acting as the zoning commission when considering these agenda items at a 1 PM meeting at the county government center Tuesday.

The proposed project by Gypsum Resources, LLC (AKA developer Jim Rhodes) prompted hundreds of local county residents to attend public government hearings and oppose the high-density housing project that opponents argue would alter the natural beauty of beloved Red Rock with everything from light pollution to sand/dirt problems from construction.

The environmental splendor of the Red Rock corridor along State Road 159 is considered a national treasure and draws hundreds of thousands of tourists, who pump the Las Vegas economy with millions of dollars of economic activity.

To be clear, Rhodes’ massive housing project is not in the Red Rock National Conservation Area. But with a housing project of this scope, the construction, traffic, dirt and light pollution would compromise Red Rock visitors’ experiences in a natural area that draws so many tourists from surrounding states like California, Utah, Arizona and from international locations.

Here is the county’s position. Its PR staff released a statement saying the potential for as many as 5,026 homes is cut to 3,500 homes and access for traffic to the housing project will be switched from State Route 159 to State Route 160, which is Blue Diamond Road, pending a Bureau of Land Management (BLM) right of way approval. If the BLM grant is not secured within two years, the county will begin to pay up to $6 million.

Red Rock Canyon and the State Route 159 shoulders. Photo credit: J. Tyge O’Donnell/LVSportsBiz.com

Developer Rhodes proposed this massive project more than two decades ago in 2003 and has argued that the county has deprived him of his property rights.

In outlining its settlement statement, Clark County also cited a recent Supreme Court ruling in government land use case. (The county did not identify the case, but LVSportsBiz,com believes it was a ruling against the city of las Vegas in a land use case involving a developer who wants to redevelop the closed Badlands golf course into a housing project.)

Clark County’s PR statement: “This settlement avoids the risk of a potential judgement in excess of $2 billion in damages to taxpayers and the risk of future liability while addressing concerns about population growth in that area and preserving the scenic and natural landscape. By allowing lower-impact development and redirecting traffic, the agreement aims to maintain public access to the Red Rock Canyon National Conservation Area, benefiting both current and future generations.”

It’s hard to understand Clark County’s assertion that allowing a developer to build 3,500 homes is “addressing concerns about population growth in that area and preserving the scenic and natural landscape.”

But keep in mind that this is the same county government that described the Las Vegas Grand Prix’s disruption to commerce and transportation in the Strip corridor as “challenges.”

It also raises the issue of who Clark County’s legal office represent? Developers like Rhodes or county residents?

Blue Diamond Hill is a natural barrier for Red Rock Canyon against Las Vegas’ suburban sprawl and all its impacts.

How will the county commissioners vote? The sole commissioner to stand up against the massive housing project has been Justin Jones, who legally represented local group Save Red Rock against the housing project before he was elected to the commission.

The commissioners were pushovers in dealing with the F1 race promoter in 2023. LVSportsBiz.com believes with that type of background, the commissioners will likely be easily convinced by the staff’s proposal to settle at a county zoning commission meeting set for Tuesday at 1 PM.

And the Clark County landscape would be changed forever.


 

Alan Snel: Alan Snel brings decades of sports-business reporting experience to LVSportsBiz.com. Snel covered the business side of sports for the South Florida (Fort Lauderdale) Sun-Sentinel, the Tampa Tribune and Las Vegas Review-Journal. As a city hall beat reporter, Snel also covered stadium deals in Denver and Seattle. In 2000, Snel launched a sport-business website for FoxSports.com called FoxSportsBiz.com. After reporting sports-business for the RJ, Snel wrote hard-hitting stories on the Raiders stadium for the Desert Companion magazine in Las Vegas and The Nevada Independent. Snel is also one of the top bicycle advocates in the country.