Resorts World has been under construction for years, and it makes sense that the new resort, located nearby the Convention Center, would want to connect to the transit system. Until that project is complete, Wynn/Encore is the closest hotel on the strip to the Convention Center. Its proximity makes it ideal for a loop station, too.

“Convention guests would no longer have to worry about long walks or gridlock traffic around the convention center – they could take the transportation system to Resorts World Las Vegas for lunch, meetings, or personal appointments, and be back to their conference or expo in minutes,” Scott Sibella, president of Resorts World Las Vegas, said in a press release.

The Convention Center loop is the Boring Company’s first official foray into transit, and the fact that resorts are already onboard is a vote of confidence in the Elon Musk endeavor. The tunnel projects have received some pushback from Monorail officials, but that hasn’t stopped the company from raising millions in outside funding. It also has plans to expand into China.

According to the company’s website, the typical walk time between the New Exhibit Hall to the existing North/Central Hall is around 15 minutes. A trip aboard one of the Loop’s modified Tesla vehicles will take only a minute. TechCrunch says the company will build twin tunnels for vehicles, which is expected to be shorter and just a mile long, and one pedestrian tunnel for people.

When reports came out that The Las Vegas Convention and Visitors Authority recommended The Boring Company for the project in early March, they only said the initiative will cost between $35 and $55 million. The Guardian recently published more details about the deal, though, which says Musk’s company won’t get the whole amount outright. It would get $1.2 million upfront this fiscal year, followed by $15 million in 2020 and $32.5 million in 2021.

While the contract is a victory for the company, it’s also taking a risk by agreeing to do it. The contract’s conditions specify that Boring Company will pay a penalty of $300,000 per event (up to $4.5 million total) if it’s unable to provide full passenger capacity during the LVCC Loop’s first 18 months online. On Twitter, Musk said his company will start digging the Las Vegas tunnel in two months with the intention of finishing by the end of the year.

Boring Company starts digging Vegas tunnel in 2 months. Aiming to finish by end of year. https://t.co/cSSO4SrpFq

— Elon Musk (@elonmusk) May 23, 2019

The Boring Company believes the tunnel system could be ready within a year, syncing up with the LVCC’s expansion plans. You could be riding by CES 2021, in other words. It’s estimated to cost between $35 million and $55 million, though the exact price will likely become clearer if and when specific plans are submitted at a contract negotiating meeting in June 2019.

A system like this might be necessary. The LVCC is already a sprawling facility (just ask Engadget’s staff), but it’ll be two miles across by the time the expansion is done — that’s a long walk if you’re just trying to visit a booth at a trade show. It could also alleviate some of the pressure on existing transportation options like the monorail, shuttle vans, taxis and ridesharing services.

This could also be an important victory for The Boring Company in the face of significant setbacks. The firm recently abandoned plans for an LA Westside tunnel, and its proposed Chicago loop is dealing with opposition as well. A completed Las Vegas project would represent a much-needed company win, and might just convince other cities to ask for tunnels of their own. That is, of course, provided there isn’t further opposition. The Vegas taxi industry successfully lobbied against a monorail extension, and it might offer a similar fight here.