Las Vegas hotspots are waving a red flag at Formula 1 – claiming its executives threaten to block views of the luxurious automobile race unless they pay thousands and thousands of dollars in fees, The Post has learned.
The red-hot racing league has demanded that venues along the three.8-mile track – which is anticipated to run through the guts of Sin City for November’s Las Vegas Grand Prix – pay $1,500 for licensing rights, according to a letter to venues obtained by The Post.
For a 1,500-seat restaurant or club, the cardboard would increase to as much as $2.25 million—no matter what number of guests can view the view from rooftops, decks, and dining rooms.
Should clubs and restaurants refuse to cooperate, F1 sales representatives – owned by Liberty Media billionaire John Malone – have warned that obstacles comparable to barricades, grandstands and lightweight poles could spoil the race for his or her customers, according to a source.
![Blue Formula 1 racing car in action.](https://nypost.com/wp-content/uploads/sites/2/2023/06/NYPICHPDPICT000012846636.jpg?w=1024)
“They’re literally shaking people up by saying they’re going to block views unless they pay them,” certainly one of The Strip’s hacked casino owners told The Post. “It seems crazy that they are asking for money for a public event that takes place within the streets.”
Sources also say that vendors working for Renee Wilm, CEO of Las Vegas Grand Prix and Liberty Media’s chief legal officer, even threatened to have lights shine towards the viewing areas of unlicensed venues, blinding visitors trying to catch a glimpse of the night race.
“There’s an actual likelihood of obstructing views with stands and barricades,” said one source close to the situation. “I do know the hotels are nervous about this and are attempting to discover if they will play together.”
The letter, sent to places like Planet Hollywood and Black Tap Craft Burgers and Beer – that are on the race route – accommodates a subtle threat worthy of Vegas pioneer and infamous mobster Bugsy Siegel, sources say.
![](https://nypost.com/wp-content/uploads/sites/2/2023/07/Formula-1-comurse.jpg?w=1024)
“Las Vegas Grand Prix will use reasonable efforts to maintain visibility from the licensee seat to the track/race,” according to a review of F1’s proposal reviewed by The Post. “The license fee shall be equal to the licensee’s maximum occupancy (per fire code) multiplied by $1,500.”
The largest concern is that Vegas clubs shall be forced to pass on fees to their high-volume clients in the shape of stratospheric cover fees, which could soar to greater than $2,000 per person, according to a Las Vegas executive who spoke on condition of anonymity.
While Formula 1 may charge similar fares in other high street locations comparable to Monaco, Las Vegas clubs want high-stakes players to come and play several times a yr. If customers spend an excessive amount of money on this trip, they may not return soon, the director insisted.
![Construction equipment on the bar.](https://nypost.com/wp-content/uploads/sites/2/2023/07/GettyImages-1532691991.jpg?w=1024)
The Vegas director added that he had direct knowledge of the location, which in recent days told Formula 1 that it might not pay for licenses. In response, F1 is putting pressure on the official sponsors of the Las Vegas Grand Prix to get the venue to pay money, a source said.
“There’s a line they cross [by] tell someone who has spent billions on their property that you just are closing the Strip for construction after which ask them to pay for the seats,” said a source close to the situation.
“They’re trying to limit people’s ability to profit from the race.”
![Race winner MAX VERSTAPPEN (Red Bull Racing) celebrates on the podium after the Formula 1 Belgian Grand Prix at Spa-Francorchamps.](https://nypost.com/wp-content/uploads/sites/2/2022/08/verstappen.jpg?w=1024)
Hotels just like the Venetian and Wynn already pay between $2 million and $10 million to officially sponsor the race, and are usually not being asked to pay more for rooms overlooking the course.
But F1 continues to be asking a few of its restaurants to pay royalties, the sources say.
A source said what Formula 1 is doing might be not illegal, even though it looks opportunistic.
“They own the rights to the race, so the venue can be difficult to prove the damage,” the source said.
Three days of events, culminating in Saturday’s Las Vegas Grand Prix, will run from November 16-18. It’s estimated that up to 300,000 F1 fans will participate in it.
According to the Formula 1 website, the ticket packages for the general public haven’t sold out.
The common ticket price for a three-day package is already $6,651, almost 50 percent greater than the $4,600 price for the Miami Grand Prixaccording to a study by King Casino Bonus.
“$8,000 per person for Heineken House?” the F1 fan said on his social media account, referring to the three-tiered structure that shall be next to the circuit and may have DJs and all-inclusive food and drinks.
“As a real F1 fan, I’m very dissatisfied that nothing on the Las Vegas Grand Prix is inexpensive – but there are tickets available. I suppose I’ll stick to general admission tickets to Austin and Miami.
![Photo of the racecourse in front of the Caesars Palace sign.](https://nypost.com/wp-content/uploads/sites/2/2023/07/GettyImages-1439750257.jpg?w=1024)
Standard hotel rooms for the weekend cost $1,000 an evening. Add in race tickets, which average $6,651 for 3 days – or enhanced security to go to a restaurant with great views – and flights, and it could easily turn into a $15,000 weekend for a pre-gambling couple.
Beer Park is officially a Formula 1 partner and charges $5,500 for full three-day access to the venue’s indoor space, including food and beverages, with over 75 HDTVs, in addition to a 9,000-square-foot outdoor deck overlooking the track.
Formula 1 is paying the Sphere arena in Madison Square Gardens nearly $10 million for an empty car parking zone to put up its own grandstands.
![John Malone is sitting at a conference.](https://nypost.com/wp-content/uploads/sites/2/2023/04/NYPICHPDPICT000009852584-edited.jpg?w=1024)
Previous F1 races within the US, comparable to the Miami Grand Prix, were held on tracks positioned in a single location.
But Ferrari and Red Bulls are racing on Las Vegas Blvd. (The Strip) will immediately pass The Mirage, Caesars Palace, Drai’s Beachclub, Bellagio and Cosmopolitan on Las Vegas Boulevard (The Strip) at quickens to 200 mph.
17 sharp curves will take drivers past Planet Hollywood on Harmon Ave. and across the newly built Las Vegas Sphere and Wynn Resorts on Sands Avenue.
John Malone’s Liberty made a fortune in Formula 1, valuing the racing organization at $8.8 billion when it took over in 2016.
Sportico said last month it’s now value $17.1 billion, thanks partially to Netflix’s “Drive to Survive” series.
Liberty’s spokeswoman didn’t return calls, and neither did Renee Wilm.