MGM Mirage climbs following condo unit discount

MGM Mirage shares surged Tuesday after the casino operator said it would cut prices by 30 percent on some condos when already lined up buyers close on deals at its $8.5 billion CityCenter development in Las Vegas.

MGM Mirage said Monday that CityCenter will start closing on the nearly 2,400 units at the lowered prices in January. More than half of the units are under contract.

The price cut roughly parallels the decline in Nevada's real estate market since the units first went on sale in January 2007. The 67-acre project is co-owned by MGM and Dubai World, the development arm of Dubai, one of the United Arab Emirates. Several analysts have said the price cuts were necessary to close deals in Vegas, one of the nation's hardest hit housing markets.