LAS VEGAS INSIDER | February 2 017
1
SAVE THE DATE GOLF TOURNAMENT
WEDNESDAY, MAY 17,2017
LAS VEGAS COUNTRY CLUB
3000 Joe W Brown Dr, Las Vegas, NV 89109
Hosted By:
FACEBOOK.COM/COLLIERSLV
TWITTER.COM/COLLIERS_LV
TABLE OF CONTENTS: LAS VEGAS RESEARCH - GREAT 4 FEBRUARY LOVE - PIZZA PARTY 6 FEATURED DEALS 7
FEATURED LISTINGS 8 COLLIERS IN THE NEWS 9 UPCOMING EVENTS 11
BROKER OF THE MONTH 12 DIRECTORY 14
M I K E’ S Q U OTE O F TH E M O NTH
XX II I
On procrastinating and failing to act on your goals
You pile enough tomorrows, and you’ll find you’ve collected a lot of empty yesterdays. Harold Hill
23R D A NNUA L LINK S FOR LIFE GOLF TOUR NA MENT
M AY 17, 2017
LAS VEGAS INSIDER | February 2 017
3
LAS VEGAS RESEARCH
ARE WE GREAT AGAIN YET? 2016 was more than just the year of the weirdest election in recent American history. It was also the 10 year anniversary of the peak before the Great
Recession. Ten years ago, Las Vegas real estate, residential and commercial,
was flying high‌ perhaps too high. This makes it a great time to look back at how far we have gained in those ten years, and how much we have lost.
We will begin with the Recovery Index, which I created in 2008 in an attempt to figure out just how “in the hole” we were economically in Southern Nevada, and to try to predict when we could expect demand for commercial real estate to pick up. I took 2005 as my benchmark – the “100” of the index – and then extended things back to 1996. That means the index now covers a 20 year span, measuring several factors that contribute in one way or another to demand for commercial real estate.
By 2010, the economy was growing again, in fits and starts. The commercial real estate sector would begin to see sustained growth in 2012, first in the retail sector, then industrial and finally office. Now we wave goodbye to 2016, and look how far we’ve come from the 2010 trough.
...CONTINUED ON PAGE 9
From this graph, we can watch the dramatic growth in the economy from 1996 to 2006, with a small interruption for the 2000/2001 “dot com recession”. At the end of 2006 we see the economy hit its peak and begin to slide. Nobody was much worried at the time – after all, economies tend to be a bit bumpy, and by midJuly things were starting to look up. Unfortunately, by early 2008 things were headed back down, and they would continue to drop, precipitously, for 18 months. Those were tough days in an increasingly quiet office. Las Vegas had certainly never seen an economy like this since the Great Depression when the county had only xxx people living in it. The Hoover Dam project would soon pull Las Vegas out of the Great Depression, and begin that small town’s rise to greatness. A combination of government projects – Hoover Dam, Crocket Field (i.e. McCarran International Airport), the magnesium plants in Henderson, Nellis Air Force Base – and rapid population growth would keep the economy humming along for 70 years. Locals can be forgiven their shock at an economy in free fall and a population that simply stopped growing.
Colliers International Southern Nevada Commercial Real Estate Recovery Index (Jan 2::5 = 1::) 12:.:
The Old Growth Rate
11:.:
1::.:
9:.:
8:.:
The New Growth Rate 7:.:
6:.: Jun 2:16
Oct 2:15
Feb 2:15
Jun 2:14
Oct 2:13
Feb 2:13
Jun 2:12
Oct 2:11
Feb 2:11
Jun 2:1:
Oct 2::9
Feb 2::9
Jun 2::8
Oct 2::7
Feb 2::7
Jun 2::6
Oct 2::5
Feb 2::5
Jun 2::4
Oct 2::3
Feb 2::3
Jun 2::2
Oct 2::1
Feb 2::1
Jun 2:::
Oct 1999
Feb 1999
Jun 1998
Oct 1997
Feb 1997
Jun 1996
LAS VEGAS INSIDER | February 2 017
5
COLLIERS PERKS
HAVE IDEAS FOR A MONTHLY PERK? EMAIL LASGRAPHICS@LVCOLLIERS.COM TO SHARE!
On Valentine’s Day we celebrated with heart shaped pizzas and Valentine’s themed sweet treats. We encouraged everyone in the office to wear red or pink to enter our raffle to win a wine and chocolate package. Congratulations to Grant Traub for taking home the grand prize. We hope you enjoyed your “love”ly lunch! Thank you to Gina for coordinating all the food deliveries.
FEATURED DEALS
OFFICE LEASE
INDUSTRIAL LEASE
±58,112 SQUARE FOOT OFFICE PROPERTY A lease to UPS. The ±58,112 square foot office property is located at 7120 Amigo Street in Las Vegas. Ryan Martin, CCIM, SIOR, Taber Thill, SIOR and Patti Dillon of Colliers International represented the tenant.
±22,040 SQUARE FOOT INDUSTRIAL PROPERTY A lease to Matheson Flight Extenders, Inc. The ±22,040 square foot industrial property is located in Arrowhead Commerce Center (Building 10) at 3650 East Post Road, Suite D in Las Vegas. Spencer Pinter, Dan Doherty, SIOR, Chris Lane and Jerry Doty of Colliers International represented the landlord, KTR LV IV, LLC.
LAND SALE
OFFICE LEASE
±2.5 ACRE VACANT LAND PARCEL A sale to Mosaic Seven, LLC. The ±2.5 acre vacant land parcel is located near Gomer Road and Fort Apache Road (APN: 176-19-801-001) in Las Vegas. The transaction amount was $775,000.00. Vince Schettler of Colliers International represented the buyer.
±17,178 SQUARE FOOT OFFICE PROPERTY A lease to Survey Sampling International. The ±17,178 square foot office property is located in Eastern Canyon Plaza at 8645 South Eastern Avenue in Las Vegas. Stacy Scheer, CCIM, LEED GA and Steven Haynes of Colliers International represented the landlord, Diamond Creek Holdings, LLC Series 8.
RETAIL SALE ±42,875 SQUARE FOOT RETAIL PROPERTY A sale to Horizon Dorado, LLC. The ±42,875 square foot retail property is located in Horizon Village Square at 35 and 37 East Horizon Ridge Parkway in Henderson. The transaction amount was $15,356,000.00. Al Twainy, CCIM, David Grant, Grant Traub, Chris Connell and Amelia Hyden of Colliers International represented the buyer.
LAS VEGAS INSIDER | February 2 017
7
FEATURED LISTINGS
700 SOUTH 9TH ST. AND GARCES AVE.
6060 SOUTH FORT APACHE ROAD
ROBERT TORRES AND SCOTT GRAGSON
STACY SCHEER, CCIM, LEED GA AND ALEXIA CROWLEY, CCIM, LEED GA
•
±0.16 Gross Acres
•
Remodeled office building on lawyer’s row
•
Asking $350,000.00
•
±3,000 - ±45,000 Medical Office Building
•
$175/SF Sale Price
•
$1.70/SF NNN Lease Rate
11411 SOUTHERN HIGHLANDS
270 EAST HORIZON DRIVE
RYAN MARTIN, CCIM, SIOR, TABER THILL, SIOR, & PATTI DILLON
PHILLIP DUNNING, CCIM
•
Three-story, Class A office building for lease
•
±1,800 SF retail/office space for lease
•
$2.15/RSF, Full Service Gross
•
Can be combined with ±600 SF Grey Shell For A Total
•
Suites Ranging from ±1,719 RSF - ±5,286 RSF
of ±2,400 SF •
Built out dental office
3616 SPRING MOUNTAIN ROAD
NE CORNER OF POST RD. AND TENAYA WY.
CHRIS CLIFFORD, STEVE NEIGER AND BRETT RATHER
CHRIS CONNELL, BRIAN RIFFEL AND TYLER JONES
•
±10,000 SF Retail Space Available for Lease
•
22 Units Totaling ±36,990 SF
•
Frontage on Spring Mountain Road with Excellent Access to I-15
•
Units Ranging from ±1,382 - ±2,568 SF
•
$3.00 PSF NNN
•
Selling Price: $195 PSF
Recovery Index (Trough to Present) 140.0 Jan 2005 = 100 120.0
100.0
ARE WE GREAT AGAIN YET?
...CONTINUED FROM PAGE 5
80.0
Only a few measures of the recovery index have failed to break their 2005 benchmark level, those being new home sales, commercial occupancy (but it is so close) and in-migration. Even in these cases, though, the growth has been significant, and things are headed in the right direction.
60.0
40.0
20.0
0.0 New Home Sales
Commercial Occupancy
Gaming Revenue
Visitor Volume
In-Migration Employment Taxable Sales Port Traffic LA
May 2010
Recovery Index
Dec 2016
Recovery Index (Peak to Present) 140.0 Jan 2005 = 100 120.0
100.0
80.0
60.0
40.0
20.0
0.0
New Home Sales
Commercial Occupancy
Gaming Revenue Sep 2006
Visitor Volume
In-Migration Employment Taxable Sales Port Traffic LA
Recovery Index
From the other direction – the peak to the present, we see a mixed bag. The most hideous thing on the chart is that dive in new home sales. We see commercial occupancy, gaming revenue and in-migration into the area still below their peak levels, but even more impressive are the number of measures in which the present economy is beating that 2006 peak – Visitor Volume, Employment and Taxable sales most important among them. What we see is an economy that is different from 10 years ago, but not one that is significantly weaker. We can argue all day about what the present economy would look like without the Great Recession – the city would be larger for sure, and projects that were abandoned a decade ago would probably be thriving today, but there is little point to such arguments. That future is lost, but a pretty strong future now lies ahead of Southern Nevada, one that relies less on population growth – an inherently unreliable engine of growth – and more on tourism, services and manufacturing.
Dec 2016
IN THE NEWS VACANCY RATES FOR OFFICE AND RETAIL SPACE IN HENDERSON DROP SLIGHTLY http://www.reviewjournal.com/local/henderson/ vacancy-rates-office-and-retail-space-hendersondrop-slightly MCA REALTY ACQUIRES TWO ASSETS IN LAS VEGAS FOR $18.3 MILLION http://www.nevadabusiness.com/2017/02/ mca-realty-acquires-two-assets-las-vegas18-3-million/ MARNELL PROPERTIES FOCUSES ON INDUSTRIAL SPACE http://businesspress.vegas/real-estate/marnellproperties-focuses-industrial-space?email_ subscriber=yes
GOL F TOU R NA ME N T
SAVE THE DATE
WEDNESDAY MAY 17,2017
LAS VEGAS INSIDER | February 2 017
9
2017 SALES AWARD TRIP THE FAIRMONT KEA LANI PLANE
WAILEA, MAUI, HAWAII Friday, March 16 – Tuesday, March 20, 2018
CONGRATULATIONS AND WELCOME ABOARD MIKE DELEW, SIOR
Executive Vice President Industrial Division
*These brokers qualified for the plane in January
UPCOMING EVENTS MONTHLY LAND MEETING 9:00am Main Conference Room MARCH 7 SIOR LUNCHEON 11:30am Maggiano’s at Fashion Show Mall MARCH 8
LINKS FOR LIFE
F O U N D A T I O N
LIBATIONS WITH LINKS 6:30pm Bratalian Restaurant FEBRUARY 28 CREW LUNCHEON 11:30am Las Vegas Country Club MARCH 2 CANDLELIGHTERS EVENING OF HOPE 6:30pm World Market Center MARCH 3 NAIOP SPOTLIGHT AWARDS 6:00pm Red Rock Casino MARCH 4
MONTHLY INDUSTRIAL MEETING 9:00am Main Conference Room MARCH 16
BROKER SALES AWARD TRIP Fairmont Orchid, Hawaii MARCH 17-22 CCIM LUNCHEON 11:30am Palms Casino Resort MARCH 22
DAYLIGHT SAVINGS BEGINS MARCH 12 NAIOP BREAKFAST 7:00am The Orleans Hotel MARCH 16 HAPPY ST. PATRICKS DAY MARCH 17
MONTHLY BIRTHDAY CELEBRATION 2:30pm Main Conference Room MARCH 23 MONTHLY OFFICE MEETING 9:00am Main Conference Room MARCH 29
LAS VEGAS INSIDER | February 2 017
11
1
BROKER OF THE MONTH
CO NG RA T UL A T IO NS MIKE DELEW, SIOR
THOMAS OLIVETTI Associate Vice President Multifamily Division
Executive Vice President Industrial Division
Michael G. De Lew is an Executive Vice President in the Industrial Division of Colliers International, which consistently ranks at the top of all commercial real estate firms in Nevada. Mr. De Lew is experienced in all phases of industrial real estate specializing in development feasibility analysis and design, investment property, land acquisitions, and leasing and sales to both users and investors. He has built strong relationships within the local and regional development community based on a respect for his comprehensive understanding of the development process. Mr. De Lew is often hired on a consultation basis to help developers and users understand and evaluate the criteria particular to building different types of industrial product within our Valley. His involvement consistently helps to maximize potential returns and avoid costly mistakes. An expert in industrial sales and leasing, he has personally concluded more than $250 million in transactions over the past 5 years.
Thomas is a Las Vegas native who covers Nevada for the Colliers HSK Multifamily team. HSK is the #1 producing multifamily team within Colliers in the U.S., and the team primarily represents sellers and buyers of multifamily properties in Nevada, Arizona, New Mexico and West Texas. Prior to joining the HSK team, Thomas worked in commercial banking in Phoenix and Las Vegas.
Q
What is one of the things you have on your “bucket” list?
A
Travel the world
Q
What is your favorite summer activity?
A
Relaxing on the beach
Q
What is your favorite hobby?
A
Golf
If a movie was made of your life what genre would it be and who would play you?
Comedy and Alec Baldwin What is the strangest thing you have ever eaten?
GATOR! What would you do with your “15 minutes” of fame?
Try to help save the world in some way What is your biggest addiction or guilty pleasure?
Red Wine If you had only 24 hours to live, what would you do?
Make sure all those that I love, know how much I love and will miss them
EVEREST
CLUB Mike DeLew, SIOR
Dan Doherty, SIOR
Scott Gragson
Pat Marsh, SIOR
Mike Mixer, SIOR
Mike Stuart
Dean Willmore, SIOR
This year, 7 Colliers professionals in Las Vegas were recognized for their exceptional performance with the coveted Everest Club designation. Only the top 10% of Colliers professionals in the Americas reach this peak. We know that our achievements are founded in client relationships built on experience and enduring trust. Together, we are blazing trails toward collective success. LAS VEGAS INSIDER | February 2 017
13
LAS VEGAS PHONE DIRECTORY LAND
INDUSTRIAL Susan Borst Chelsy Cardin Mike DeLew Dan Doherty Jerry Doty Tyler Jones Suzette LaGrange Chris Lane Pat Marsh Eric Molfetta Sam Newman Greg Pancirov Spencer Pinter Brian Riffel Alexander Stanisic Kara Walker Dean Willmore Chris Zunis
+1 702 836 3719 +1 702 836 3793 +1 702 836 3736 +1 702 836 3707 +1 702 836 3735 +1 702 836 3754 +1 702 836 3799 +1 702 836 3728 +1 702 836 3741 +1 702 836 3756 +1 702 836 3724 +1 702 836 3776 +1 702 836 3776 +1 702 836 3773 +1 702 836 3742 +1 702 836 3705 +1 702 836 3763 +1 702 836 3703
Scott Gragson Steven Haynes John Kilpatrick Pat McNaught Vince Schettler Mike Stuart Robert Torres
+1 702 836 3790 +1 702 836 3718 +1 702 836 3780 +1 702 836 3792 +1 702 836 3796
GOLF COURSE
OFFICE Patti Dillon Andrew Kilduff Ryan Martin Rebecca Staniec Taber Thill
RETAIL Chris Clifford Garrett Connor George Connor Chris Connell Phillip Dunning Dan Gluhaich David Grant Amelia Hyden Scot Marker Steve Neiger Brett Rather Eric Tumbleson Al Twainy
+1 702 836 3746 +1 702 836 3738 +1 702 836 3786 +1 702 836 3709 +1 702 836 3766 +1 702 836 3757 +1 702 836 3785 +1 702 836 3774 +1 702 836 3782 +1 702 836 3760 +1 702 836 3794 +1 702 836 3708 +1 702 836 3725
+1 702 836 3730 +1 702 836 3727 +1 702 499 8999 +1 702 836 3798 +1 702 836 3764 +1 702 836 3739 +1 702 836 3788
MEDICAL OFFICE Alexia Crowley Stacy Scheer
+1 702 836 3778 +1 702 836 3762
VALUATION SERVICES Tom Hoover
+1 702 836 3749
PROPERTY MANAGEMENT HOTEL/RESORT Mike Mixer Dharmesh Patel
+1 702 836 3777 +1 702 836 3713
INVESTMENT SERVICES Joe Bonifatto Brian Fike Frank Marretti Tom Naseef Grant Traub
Keith Cubba
+1 702 836 3729 +1 702 836 3744 +1 702 836 3758 +1 702 836 3720 +1 702 836 3789
+1 702 836 3733
Erica Aulino Brandy Dumas Jennifer Kennedy Gretchen Lee Jessie Noche Angelina Scarcelli
+1 702 836 3745 +1 702 836 3761 +1 702 836 3772 +1 702 836 3704 +1 702 836 3752 +1 702 836 3768
STAFF Nicole Cauilan Courtney Goffstein Alisa Husic Sara Johansson Gina Jones Matt Stater Chris Sutton
+1 702 836 3706 +1 702 836 3710 +1 702 836 3701 +1 702 836 3771 +1 702 836 3783 +1 702 836 3781 +1 702 836 3721
MULTI-FAMILY Christopher Bentley Garry Cuff Jeff Naseef Tom Naseef Thomas Olivetti
+1 702 836 3779 +1 702 836 3716 +1 702 836 3731 +1 702 836 3720 +1 702 836 3740
RECEIVERSHIP Christopher LoBello
+1 702 836 3714
MIKE MIXER
Executive Managing Director | Las Vegas
+1 702 735 5700