The Great Recession created a gravely negative impact on Southern Nevada business and industry, especially in the areas of real estate and development. Now, eight years later, the market is coming back with a fury. Nowhere was that more evident than at NAIOP Southern Nevada’s September Luncheon featuring a developer panel of experts from the region.
Nearly 200 people attended the meeting held at The Orleans and sponsored by The PENTA Building Group. Featured speakers included Jeff LaPour, Principal of LaPour; Rod Martin, Senior Vice President of Majestic Realty Co.; John Ramous, Senior Vice President – Regional Manager, Harsch Investment Properties; and Fritz Wyler, Senior Vice President of Prologis along with moderator Rick Myers, President, Thomas and Mack Development Group.
When asked about current market challenges, Martin offered the example of spec development. “Built to suits are not easy to make,” he said, “the miss ratio is greater than the hit ratio. And some tenant requests are getting too specialized.”
LaPour mentioned a shortage of land sites available in the southwest, which can make scaling difficult, stating, “There is still room for successful development and pockets of opportunity, for sure.”
Panelists agreed that the greatest concerns for the future are not interest rates, but the upcoming presidential election. “We all have concerns about how that will affect the country and business overall,” one panelist said.
Still, the overall mood of the panel was positive. Glen Maxwell of The Penta Building Group affirmed, “Nevada is bouncing back and NAIOP members are driving economic development in southern Nevada.”
Panelists echoed that sentiment. According to Martin, factors impacting the upswing include, “an overall energetic feeling about the market and people wanting to be geographically closer to California. They wind up here because Vegas is a big feeder for the southwest region and is well positioned on regional price point.”