It’s no secret that the Las Vegas commercial real estate market has experienced turmoil in some sectors in the past few years, but that doesn’t mean it’s finished. Fortunately–and despite what most people think–the Las Vegas economy isn’t all about gambling. Politicians, lenders and civic leaders are on the march to reshape the economic landscape by drawing manufacturing interests, non-gambling industry companies and a host of other commercial innovators like movie theater and shopping center developers to the area which means a lot of investment opportunities are opening up.
Most indicators show that the commercial real estate market has bottomed out in Las Vegas, and you can find properties at a fraction of what they were just a few years ago. Distressed properties are being assigned for disposition which can make for a relatively quick turnaround on investment. For those with longer term financial goals, there are numerous office buildings, shopping centers and other retail spaces available for acquisition. Diversification has made Las Vegas more attractive to new investors because of its ideal location in the west, and many companies are setting up shop here for their corporate headquarters on this side of the country. And don’t forget that our city still gets regular business from long term standbys like conventions and tourists.
All investors know that the Las Vegas residential home buyer market has taken the biggest hit in value in recent years, with many homes now in foreclosure or underwater. This situation arose because Las Vegas, like any boom town, has wildly fluctuating demographics, attracting more than its fair share of daring individualists looking to fulfill their dreams and move on. During the bubble, lax lending practices made buying irresistible for that group, even though they probably weren’t “buying types” in the traditional sense. But just because buying is more difficult, doesn’t mean that the people have stopped coming! True, lending now comes with more strings attached, but those people who were buying will now be renting, which means that residential rental properties are going to be the biggest investment opportunity for the foreseeable future. And now is the time to get in on the ground floor.
The days of flipping properties are over in Las Vegas, at least for the time being. Investors looking to lay down roots in Las Vegas are long term strategists with firmer goals and an eye to the future. McMenemy Investment Services is currently accepting clients who want to invest in a community where the opportunities are.