As reported by: The Boston Globe
Céline Dion is waxing romantic at Caesars Palace. Wayne Newton is warbling at the Flamingo. George Carlin is cracking jokes at the Stardust.

And outside the crowded shows, and up and down the fabled Strip, luxury condominium towers are sprouting like mushrooms.

At first glance, Las Vegas has never had it so good.

In fact, this desert valley of almost 2 million people is the fastest-growing in the country.

Las Vegas, in fact, leads the nation in job creation, and it has a white-hot housing market.

''It's going phenomenally well," said Mayor Oscar Goodman, a former lawyer for mobsters.

But as bright as the present appears, there are signs that Las Vegas is becoming polarized. Prices have pushed home purchases beyond the reach of many families. Crime is on the rise. And activists report problems in recruiting teachers, nurses, and police to serve a population growing by 6,000 a month.

As the city moves from municipal adolescence to adulthood, Las Vegas is only beginning to address its growing pains, said John Restrepo, an economic consultant here. ''If we don't," Restrepo said, ''we'll be facing significant challenges in the next few years."

Founded in 1905 as a sun-baked railroad depot, the city of Las Vegas has faced challenges and remakes galore.

From the Depression-era construction of the Hoover Dam to the mob's financing of its casino persona to its transformation as a family-friendly resort, Vegas has always been a survivor.

But now, the affordability of a city that relies on armies of low-wage workers to run its casinos, hotels, and restaurants is a glaring concern. Since 2000, the median price of a new home here, excluding condo conversions, has soared to $335,091 from $161,893, Restrepo said. Median household income in that time has increased to $47,741 from $41,657.

The Las Vegas metropolitan area, which ranks 153d in household income, is now put as the 33d most expensive housing market in the country.

In Greater Boston, by comparison, the median price of a single-family house is $430,900, according to the National Association of Realtors; the median household income is $63,521.


Article By: The Boston Globe