The number of condo units suspended jumped 21 percent in the third quarter from 3,877 to 4,688, according to the latest numbers released by consulting firm Applied Analysis.

There were 4,598 planned units for sale, down from 6,091 at the end of the second quarter, a 24.5 percent drop.

With financing harder to come by for developers, there were more than 20,000 units suspended or canceled through the end of the third quarter. There were more than 14,000 units postponed or canceled at the end of the first quarter.

Most of the attention over the past year has been on the cancellation of high-rise projects on the Strip, but more affordable midrise projects of four to nine stories away from the glamour of Las Vegas Boulevard were supposed to play a greater role because of the high cost of land and need for greater densities.

The fourth-quarter report is expected to show additional cancellations and the suspension of midrise projects such as Spa Lofts, 147 units planned in the southwest valley, analysts said.

The prices of new homes and existing homes have fallen, giving local buyers some incredible bargains that hadn't been available and further competition for the condo market that is also a lifestyle choice.

"There is a lot of competition in the marketplace, and it is difficult for buyers to be willing to pay the premium for a project when there are 27,000 resale units on the market today," Applied Analysis Principal Brian Gordon said.

The numbers don't reflect the the demise of the midrise condo market in Las Vegas but simply a delay of what will become a more important part of the housing market, said Steve Bottfeld, executive vice president of Marketing Solutions, which tracks the housing market.

Bottfeld said the suspensions and cancellations were prompted by ill-advised projects that were overpriced, by lousy floor plans that were either too small or didn't offer upscale features and by developers who couldn't retain prospective buyers before contracts were written. Developers need to sell 50 percent to 70 percent of their units to obtain construction loans.

"You add in problems with (the credit crunch), foreclosures and consumer confidence, and you have a recipe for a tough time," Bottfeld said.

In its latest statistics tracking the third quarter, Applied Analysis reported there were 13,033 condo units under construction, led by MGM Mirage's CityCenter.

There are 7,219 existing condo units, up from 5,849 at the end of the second quarter.

Location counts: 2,565 of those existing units are on the Strip; 1,992 are on Las Vegas Boulevard, south of Interstate 215. Another 2,155 are off-Strip, but in the resort corridor, 387 are in suburban areas and 120 are downtown.

The failure of some midrise projects off the Strip has been offset by successes such as Sullivan Square and Manhattan West that show the concept can work, Bottfeld said. About one-quarter of new sales this year are condos, and Bottfeld said he expects that number to increase to one-third in 2008.

"Somewhere along the line people will say there is not enough demand or the market is not ready for it, but that's not the case," Bottfeld said.

Sales have slowed for midrise projects like the Mercer, where JDL Development of Chicago continues to push ahead with its 113-unit project even though it is just short of selling 50 percent of its condos.

JDL President Jim Letchinger said some projects have been hurt because investors have left the market. Because projects have been canceled, some buyers are reluctant to purchase unless the developer has a solid track record or the condos are under construction and near completion, he said. Letchinger said he is counting on that mentality for selling the rest of his units at the Mercer, which will open at the end of 2008.

The condo market along the Strip is expected to be driven by projects like CityCenter, where there are known developers and amenities such as casinos that make such projects more attractive.

Third quarter statistics: The closing price of units sold in the third quarter averaged $694,600 or $539 per square foot. That's up from a second quarter average of $814,000 or $507 per square foot.

At the end of the third quarter, there were 854 luxury condos on the market, up 19 percent from the second quarter. The units had an average asking price of $830,800 or $624 per square foot. That's the same price as the second quarter.

Forty-six percent of those units are high-rise residential, 36.4 percent were condo-hotel units and 17.3 percent were midrise residential.