Formula One has been granted permission to run the Las Vegas Grand Prix on the famed Vegas ‘strip’ until the year 2023, with the first in the series scheduled for this November. However, hotels and clubs in the area are furious at F1’s alleged threat to block their view of the race if they don’t cough up huge amounts of money to view the race.

Reportedly the restaurants and clubs have learned the league intends to charge them at least US $1,500 per person at venues along the racetrack for licensing rights during the Grand Prix. That would work out to about $2.25million – for a venue that has seating for 1,500.

If fees are not paid, F1 have apparently threatened to obstruct views by putting up barricades and light stanchions in front of the venues to prevent people from seeing the race. Allegedly there have also been threats that lights will be shined toward the viewing areas of unlicensed venues, blinding guests trying to get see the nighttime race.

The New York Post reported that it reviewed an overview of the F1 proposal letter sent to venues along the race route which stated, “Las Vegas Grand Prix will use reasonable efforts to maintain sightedness from licensee’s venue to the track/race. The license fee will equal the maximum occupancy of licensee’s venue (per fire code) multiplied by $1,500.”

The Post reported, “For a restaurant or club with 1,500 seats, the tab would soar to a whopping $2.25 million — regardless of how many guests can catch views from their roof decks, terraces and dining areas.”

Formula One three-day passes are selling for between $2,000 and $8,000, according to the F1 website and ticket packages for the public have not sold out.

Official race sponsors including the Venetian and Wynn are roughly paying between $2 million and $10 million each to be official race sponsors and are not being asked to pay more for having rooms that face the course.