The project at Palazzo was so successful, Las Vegas Sands Corporation has decided to implement some of these changes in all construction projects...
How do you create the world’s largest “green” building? Ask the management at Las Vegas Sands Corporation and they’ll tell you: “Just get started.”
Owned by Las Vegas Sands Corporation, a US$4b a year international developer of multiuse integrated resorts, The Palazzo Las Vegas (Palazzo) is one of the newest hotel and casino properties in Las Vegas.
At the time the Palazzo was in the design phase, the state of Nevada had sales and use tax exemptions in place on all construction materials, and it was also offering significant property tax abatements. Combining these two factors on a property the size of the Palazzo represented significant potential cost savings. The catch? To realize these tax incentives, the corporation would have to design and build Palazzo to rigorous environmentally sustainable construction standards.
Las Vegas Sands Corporation hired Ernst & Young to help it fully understand the requirements, to act as advisors with regard to environmentally sensitive and sustainable practices, as well as to advise them on energy efficient strategies and green building (LEED) certification.
Closing the gaps to realize benefits
Ernst & Young’s analysis identified the gaps between the current architectural design and what would be required to realize the tax incentives. The recommended actions allowed Palazzo to close these gaps and to leverage tax incentives and credits at the federal, state, local and utility levels. Changes to the design also realized additional benefits, including:
- Reduced operating costs
- Reduced electricity costs
- Reduced water costs
- Reduced landscaping costs
- Increased recycling efforts
The project at Palazzo was so successful, Las Vegas Sands Corporation has decided to implement some of these changes in all construction projects, making energy efficiency, water efficiency and recycling efforts standard at all its properties.
Sustainability efforts pay off
This project was just the beginning for Las Vegas Sands Corporation. It is now developing a sustainability strategy that will guide other aspects of the business to determine where it can reduce expenses and act as a socially responsible corporate citizen through environmentally friendly practices. This strategy includes determining its carbon footprint. The Palazzo is currently the only green property open on the Las Vegas Strip and wants to leverage this distinction to attract convention business. They are even considering providing the carbon footprint of a meeting, and then offering the means to offset that carbon footprint.
