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Monorail ridership up; red ink lingers

March average best since July, company says

Las Vegas Monorail Co. saw nearly 2 million riders walk through its turnstiles in the first quarter of 2008, but it still failed to generate enough money to break even.

The ridership numbers constitute a 19 percent increase over the same period last year, according to figures released Friday by the light rail company.

In the past three months, the monorail has brought in nearly $80,733 a day in fare revenue and seen an average of nearly 22,000 riders daily.

The average fare collected per passenger is $3.68. At that rate, the monorail would need about 33,424 riders each day to generate the $123,000 in fare revenue required to balance the monorail's budget, according to a 2006 estimate by Fitch Ratings, a credit ratings firm based in New York.


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  • Recent ridership figures are significantly below that point. The monorail averaged 19,736 daily riders in January, 20,528 in February and 25,437 in March.

    March's average was the highest since July. The monorail's strongest ridership months traditionally have been between March and August.

    Ingrid Reisman, vice president of corporate communications for Las Vegas Monorail Co., said there has been a steady increase in use by the convention travel industry, with such ridership up 27 percent in the quarter compared to the same period in 2007.

    "We will continue to transport visitors and help reduce congestion in the resort corridor with the monorail's current route along the Las Vegas Strip, as well as with the planned expansion to McCarran International Airport," Reisman said.

    The monorail company is trying to obtain financing to build a half-billion-dollar extension to McCarran. Officials hope that will increase ridership and lead to a profit for the privately funded company.

    Since opening to the public on July 15, 2004, the $650 million, four-mile line on the east side of the Strip has failed to generate a profit.

    Contact reporter Francis McCabe at fmccabe@reviewjournal.com or 702-387-2904.



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    Whateverusaydear wrote on April 15, 2008 10:32 PM: Or to look at it another way, light rail systems like UTA can look forward to an expanded system that benefits the community because it's successful, whereas the privately funded limited transportation project like the monorail continues not to meet its ridership expectations, and the less successful monorail's future appears questionable at best. Just what are these figures for Sahara/LV Hilton guests, and does it have any significance in the longevity of the monorail project? The article even mentions that officials hope that (additional financing for) an additional expansion to McCarran will increase ridership and lead to a profit for the company.

    Good luck to the monorail in generating a profit, I would like to see it succeed. I can't see using it myself because the price is too high and the few destinations it reaches I don't frequent. Just imagine what a real light rail system integrated with the busses would do for relieving congestion on the Strip... I for one would park my car and use it to access the Strip more often, like when I visit other cities like Salt Lake and use the system to get around and much more reasonably priced for all day use.


    ths wrote on April 15, 2008 08:48 PM: The flaw is everyone is comparing a privately funded transportation project like the monorail compared to a publicly funded light rail. The light rail does not have to pay back its cost. Also look at mile per mile of the system to the riders and please compare that.

    Once again you need to compare them in the fullest light of what they are. The monorail has a high ridership from Sahara and LV Hilton guests as well. The conventions is just one part of the business that give a good boost.


    Whateverusaydear wrote on April 15, 2008 07:02 PM: JohnNowInUtah reminds me of the success of UTA in Salt Lake City... IMHO that's a quality light rail system, and is going to be expanded.

    The monorail can't compare to a quality light rail system. Compare the cost of using UTA and their transit system and a one way fare to the pretty much useless monorail... conventioneers are not going to be enough to keep it afloat, and the monorail isn't likely to be successful in attracting local riders.


    JohnNowInUtah wrote on April 15, 2008 01:13 PM: The LV Monorail is not a "light rail" system. It is a fixed guided rail system.

    Light Rail is inbetween a street trolley and a regular frieght or passenger train.

    Keep things straight--it helps to the rest of us to realize why the monorail is such a loser when light-rail systems around the country are thriving


    Mon O' Rail wrote on April 15, 2008 08:57 AM: Why does anybody care if this company wants to continue losing money? They are keeping people and cabs off the street which is a benefit to all in the valley. We do need to look at the RTC and where they are losing money and cancel those bus routes. I see them driving all over town with one or two people in these huge buses. Let's just give those people cab fare and that would save a whole lot of money.


    br wrote on April 15, 2008 08:10 AM: It's the same old story. Light rail mass transit system sold as the answer to transportation problems. Inflated ridership projections, low-balled construction costs and other blue sky PR icing on the cake. After all the huffing and puffing the monster is built and reality rears its head. The wheels begin to fall off, literally and figuratively in this case. Riders don't show up. Answer, raise fares. Ridership continues to decline. Sell more advertising space. Revenues still drop. PR spinning goes into overdrive. The great new idea is to expand the line to the airport and the sky will be blue again! Investors will be climbing over each other to finance the project! Little details aren't important. Riders will be happy to manhandle their luggage to the monorail station which we will locate somewhere convenient. Maybe there will be space at the arrival gates, or the long range parking area or over by the Thomas & Mack center. Riders wont mind the hassel of dragging those bags along the beautiful backyards of the strip hotels. That reminds the people movers of expanding the system to downtown hotels. Just think, we could keep going all the way to Mesquite! The wonders of it all are under-whelming!

    Financing? We don't worry about such small stuff. One way or the other our adoring public will eventually recognize they MUST contribute to our wonderful vision.


    ths wrote on April 15, 2008 07:19 AM: People often don't understand the service that the monorail gives to one of the largest industries in this town, the convention industry. Some of the largest shows rely heavily on the monorail to get people from and to the convention center.

    The other thing that people fail to ask is if this was a publicly funded line would it be turning an operational profit. That means don't include the debt payments, but is it covering enough money to cover its daily operational cost.

    I ask this as it is a mass transit service and I don't see people asking for the RTC to be shut down even though it is heavily subsidized with tax payer money.


    Gary G. wrote on April 15, 2008 03:38 AM: Why must we be subjected to this same information on an on going basis in the RJ? Just let us know when they have finally used up all their reserve capital, were not able to get financing to expand this blunder, and finally closed the doors.