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In the middle of North America’s harshest desert lies a city that shouldn’t exist.
What began as an ancient bar became a railroad stop, a gambling outpost, and ultimately one of the most famous cities on Earth.
The story involves the mafia, mega-resorts, nuclear testing, and reinvention after reinvention.
But how exactly did a deserted, desolate desert become the entertainment capital of the world?
Learn more about Las Vegas and how it beat the odds in this episode of Everything Everywhere Daily.
Long before the neon lights, casinos and Elvis impersonations, the Las Vegas Valley was a very different place.
During the late Ice Age, the area was a wetland oasis fed by springs and wetlands and home to large mammals such as mammoths and ancient camels. Humans have lived in the area for over 10,000 years, leaving behind tools, petroglyphs, and archaeological remains.
By the first millennium, the Southern Paiute people inhabited the valley. They adapted to the harsh desert environment through seasonal migration, hunting, and gathering, relying heavily on the valley’s scarce water sources.
At this stage, Las Vegas was not a city but a rare and valuable source of water in the Mojave Desert.
The name Las Vegas, which means meadow in Spanish, originated when a scout led by Antonio Armijo passed through the valley in 1829. A young scout named Rafael Rivera recognized the lush spring and gave the area its name.
These springs made Las Vegas an important stop along the Old Spanish Trail, a trade route between New Mexico and California.
Interest in the area grew in 1844 when explorer John C. Frémont passed through and recorded the area. His name was later immortalized on Fremont Street, which remains the centerpiece of downtown Las Vegas.
Little has changed in the nearly 20 years since the valley was discovered. In 1855, Brigham Young, the second president of The Church of Jesus Christ of Latter-day Saints, sent Mormon settlers into the valley.
The Mormons built a fort while in the valley and eventually abandoned the area in 1857. In 1865, Octavius Guss acquired the fort and established a ranch, naming it Las Vegas Rancho to distinguish it from other Las Vegas in New Mexico.
Guss eventually failed to pay the loan and the property was purchased by Helen and Archibald Stewart the following year. They continued to live on the ranch until Helen sold it in 1902.
The ranch was sold to U.S. Senator William Clark. He wanted to capitalize on the lucrative San Pedro, Los Angeles, and Salt Lake Railroad. Clark purchased the land and water rights from Stewart and then auctioned off the land after workers arrived.
Modern Las Vegas began in 1905 when land was auctioned off to create a city along the Union Pacific Railroad connecting Los Angeles and Salt Lake City.
Another businessman, JT McWilliams, who saw the potential benefits of settling in the area, purchased a large tract of land. However, McWilliams’ location was not Las Vegas, but a nearby settlement known as McWilliams Town.
This led to a rivalry between Las Vegas and McWilliams. Clark launched an aggressive campaign to lure more people to his town. Clark’s main selling point was refunding train fares to land buyers in Las Vegas.
Clark also worked to secure benefits for anyone moving to his town. He founded the ‘Las Vegas Land and Water Company’ which ensured that every buyer who moved in had immediate access to sewer, road and water maintenance.
This strategy was successful because McWilliams was unable to keep up with Las Vegas’ sanitation and maintenance services.
Las Vegas was officially incorporated into Nevada in 1911. Voters decided to convert the railroad company town into a formal municipality.
Interestingly, what Las Vegas is best known for is gambling, which was actually illegal when the city was first incorporated into Nevada.
In 1910, Nevada passed a law making gambling illegal. Nonetheless, Las Vegas maintained its reputation for vice even in its early days. Residents opened illegal casinos, speakeasies, and brothels, which fostered early links with organized crime. The city also attracts visitors from Los Angeles.
There are two main reasons why Los Angeles people love Las Vegas. It’s the weather and Nevada’s relaxed laws. Notably, divorce laws only required someone to reside in the state for six weeks before filing.
Likewise, prostitution has always been legal since the creation of the state of Nevada in 1864, which allowed counties and municipalities to regulate it at the local level.
Connections to Los Angeles brought entertainment figures to the city, and by 1930 the city’s population had grown to 5,000.
Everything changed in Las Vegas in 1931. First, gambling was legalized in Nevada, and second, construction of the Boulder Dam, known today as Hoover Dam, began.
The construction of the Hoover Dam brought thousands of workers to the city. This project took place during the Great Depression. It was one of the most ambitious public works ever completed.
Taking advantage of the influx of new residents, businessmen quickly sought to make profits. Now that casinos are legal, they are starting to open, taking advantage of workers’ disposable income.
The construction of the dam provided critical resources – water and electricity – essential to the sustainability of Las Vegas. This influx of power spurred the opening of more establishments such as casinos and nightclubs.
Another major aspect of Las Vegas’ development was World War II. The federal government located two major military installations near the city. The project involved thousands of soldiers and civilians, many of whom remained after the war.
Organized crime took early root in Las Vegas and became closely associated with the city. This connection arises because gambling was illegal when the city was founded.
As the Las Vegas Strip expanded, it attracted numerous individuals involved in questionable enterprises that contributed to the development of the city.
Guy McAfee, a former Los Angeles police officer accused of corruption, fled to Las Vegas in 1939. After arriving, he purchased several nightclubs.
California hotel owner Thomas Hull created El Rancho Vegas, Las Vegas’ first luxury resort. He made the resort attractive with gardens and swimming pools.
This growth in casinos and entertainment venues eventually caught the attention of the New York mafia.
Vegas was attractive to the mob because of the legality of gambling. The fact that casinos are all cash businesses has made it very easy to steal money.
Bugsy Siegel, a gangster who moved from New York, opened the Flamingo Resort in 1945. The resort was a pivotal moment for the Las Vegas Strip. Because it became the first casino to fully embrace the luxury and glamor we associate with Las Vegas, moving away from the Western theme and focusing on sheer opulence.
The Flamingo’s success was so significant that it served as a blueprint for all subsequent casinos and fundamentally reshaped the character of the Strip.
Siegel was shot in Beverly Hills in 1947 and became the basis for the character of Moe Berg in The Godfather.
In the 1950s and 1960s, the mob built several casinos and resorts, including the New Frontier, Riviera, Sahara, and Sands. These mobsters are credited with ushering in the “Golden Age” of Las Vegas.
Money poured into Las Vegas not only from organized crime but also from Wall Street, the Mormon Church, and union pension funds, fueling growth.
The city gained further recognition as celebrities began establishing residencies. These residencies are long-term contracts that involve superstar performers performing in one location over an extended period of time, sometimes lasting several years.
The first resident of Las Vegas was Liberace. His residency, which he performed toward the end of World War II, prompted other resorts and casinos to bring in other artists.
Notable performers include Frank Sinatra, the Rat Pack, and Elvis Presley. Promotion of these activities helped make the city a destination for gambling and entertainment.
Nuclear testing in the 1950s also drew visitors to Las Vegas. The ground test, conducted at the Nevada Test Site just 65 miles away, was visible from the city’s hotels and boasted views of the explosion.
Organized crime in Las Vegas began to decline in the late 1950s and early 1960s. Despite its role in shaping the city, Nevada sought to curb its dominance during this period.
The Nevada Gaming Commission was established in the late 1950s. It served as a licensing and regulatory body for gambling. The commission worked to limit gang control in the city.
One example was the creation of the “Black Book” used to combat gambling corruption. People with criminal records were banned from entering, owning, or working in casinos.
The Gaming Commission has been very effective in enforcing the law. Their efforts have been largely successful in regulating the industry, rooting out corruption, and preventing organized crime from increasing its influence over casinos.
Corporations replaced organized crime in managing many resorts and casinos, which shifted leadership in Las Vegas from lawlessness to corporate structures.
Howard Hughes is one of the best examples of this.
Hughes arrived in Vegas in 1966 and stayed at the Desert Inn. He never left the hotel. Instead he bought it. Over the next few years, Hughes purchased more hotels, increasing his profits to hundreds of millions of dollars. Hughes ushered in the era of corporate Vegas and led the Strip to be transformed once again.
One person who took a cue from Hughes was an entrepreneur named Steve Wynn.
Wynn has a history of owning many casinos in Las Vegas. His claim to fame came in 1989 with the opening of his first large resort, the Mirage.
The city continued to grow with increased tourism and gambling. Many old casinos have been demolished to make room for new casinos, resorts, and attractions.
Large hotels such as the Bellagio and MGM Grand, as well as attractions that recreate the Eiffel Tower, Venetian canals, and New York skyscrapers, were built there.
Prior to the corporate takeover, Las Vegas was known as a cheap destination that primarily benefited from gambling. Visitors enjoyed affordable accommodations, free attractions, and affordable dining options. But since taking control of the giant corporation, prices across Las Vegas have risen dramatically.
High prices have led to a 7.5% decline in visitors in 2025, and tourist numbers in Las Vegas are expected to decline further in the coming years.
Despite this, Las Vegas remains one of the world’s largest tourist destinations. Still famous for its gambling and events, the city attracts 40 million visitors every year and is widely regarded as the entertainment capital of the world.
approximately? Since a portion of Nevada’s revenue comes from gambling, this is one of the best ways for the city to bring additional funds into the state’s economy.
The Las Vegas Convention Center is one of the largest convention centers in the United States, and Las Vegas is one of the few cities with enough hotel rooms to host large-scale conferences such as the Consumer Electronics Show.
Las Vegas is one of the most unique cities in history. Unlike most major cities, it did not experience gradual growth in agriculture or industry. Instead, it is designed almost entirely around tourism, entertainment, and legalized crime.
It is also in a position where the city would never have come into being if gambling had not been legalized.
From a desert spring to a railroad stop, from a gambler’s outpost to a global entertainment icon, Las Vegas continues to reinvent itself in ways few cities can. And maybe this is the real story of Las Vegas. It’s not just what it is, but how it constantly becomes new.
