The city council’s non-appropriation of lease payment is said to be one of the outcome of the default and resulted in the outright stoppage of the lease of purchase agreement and calls for the trustees to go ahead and find solutions, which also includes ejecting the city from the facilities and selling rights to the collateral.  For its base rental payments, the city is not requiring the beneficial use and occupancy of any of the facilities of the City Hall.

The awaited building of the parking garage which costs around $29 million is set to start by February 1, 2012.  In Las Vegas City, Certificates of Participation (COP) are being issued out to be able to come up with the money for building of a new City Hall, which is part of a bigger plan to persuade private development in the city’s downtown area.  Debt service on the COP is protected by base rental payments that is made by the city to a lessor that is said to be an associate of a developer that is active in Las Vegas, Forest City Enterprises, Inc.  The city obligation that should be able to come up with base rental payments is confined by a lease-purchase agreement and deed of trust. The collateral for these base rental payments is the City Hall site, the City Hall project, a parking garage site, and a parking garage.