We already know that commercial real estate vacancy rates are up high in the Las Vegas area of Summerlin. So, what can be done to boost the rental market, and increase profitability overall for the Summerlin area?
General Growth Properties is attempting to sell its 32-office building portfolio in Summerlin, for $127 million. This deal has not been finalized just yet, but according to local sources, Hines Interests LP (a Houston-based company) and Oaktree Capital Management LP (a Los Angeles-based investment firm), are the probable buyers.
A sale of this kind would boost Las Vegas' real estate market significantly. This particular deal would be one of the largest commercial real estate deals in Vegas in years. According to the director of Commerce Real Estate Solutions, Dan Palmeri, "this would be the largest office sale in quite some time".
While the sale itself seems like a hopeful solution to expanding an otherwise dying market, the Properties' current office space is claiming a vacancy rate of almost 50 percent. Trying to fill vacant offices could prove a bit of a challenge to General Growth Properties, with their current main-business focus being, shopping malls. The company owns 149 regional malls, including Fashion Show and the Grand Canal Shoppes at Venetian.
More shopping in Summerlin? We'll have to wait and see what develops...
A lot of emphasis has been placed on commercial real estate in Las Vegas. Particularly over the last decade, with real estate in and around most areas of Las Vegas (if not all areas) fluctuating drastically from one end of the success scope to the other. Summerlin, although a popular area, has been said to be a tougher market than others. Try as they might, Summerlin hasn't exactly succeeded in attempts to become recognized as an office destination. According to commercial real estate broker, Douglas Crook, building owners have begun to offer tenants special perks and monetary incentives in order to continue their rental agreements on Summerlin properties. He goes on to say that, "…they haven't really turned the corner with that".
Summerlin has been dealing with high vacancy rates and sliding rents, in addition to office vacancy rates of 26.4 percent. That's higher than Southern Nevada's 23.7 percent rate of vacancy.
What ideas are in store for boosting the inhabitability of Summerlin's commercial real estate space? And, how feasible would it be to introduce new ideas into an already struggling market in a fairly established area of Las Vegas?
When you are buying a new home, you look not just at the house, but the area. Most of us want a peaceful community full of good schools, quiet neighborhoods, safe parks, diversity, and decent, hardworking people.
You will find all of these things in the Las Vegas Valley.
Never has this been illustrated so patently as by the recent loss of nurse and former SEAL, Tyrone S. Woods from Henderson, NV. He was one of the victims of the attack in Libya. While the nation mourns, we in the Las Vegas area sadly celebrated a fallen hero.
Another fine neighbor is Las Vegas radio personality Habtamu Assefa Seme. As a refugee from Ethiopia, he now uses his newfound freedom of speech to reach out to others via his program, Hiber Ethiopian Radio. His program has received international acclaim. Tune in every Sunday evening on 1340, KRLV-AM.
Just recently, Las Vegas Metro detectives Sam Smith and Jason Nelson were honored by Crime Stoppers of Nevada with the “Exceptional Service Award.” The diligent detectives brought in Anthony Carleo, who was found guilty of robbing several casinos.
With neighbors like these, it’s no secret that The Las Vegas Valley is a great place to live!
While Las Vegas may get most of the glory, the nearby city of Henderson makes headlines as it repeatedly is included in Money Magazine’s “Best Places to Live.” For 10 straight years, Henderson’s housing market has shown great improvements, better than nearly every other community in the valley.
If you are looking to buy a home in the Las Vegas area, but are concerned about the pace or your children’s future, Henderson is the perfect solution. Less than ½ an hour from the Strip, Henderson offers a solid school system – receiving an overall 8 of 10 rating from GreatSchools.org.
Henderson is the second largest city in Nevada, yet has one of the lowest property tax rates.
Henderson has lovely master-planned communities with wonderful schools, libraries, and public facilities.
It is home to some of Nevada’s most beautiful parks (and off-leash dog parks!), walking trails, and other outdoor recreational facilities such as skate parks and the state’s largest amphitheater.
High-tech companies such as Zappos offer fresh job opportunities. Nearby colleges include Touro University Nevada and Nevada State College
Whether looking to buy a starter home or high-end estate, Henderson is the answer to your dreams. Call today for a listing of the Henderson, Green Valley, and Lake Las Vegas areas. 702-845-8540
There aren’t very many historic homes in the Las Vegas valley, given that we’re barely 100 years old. But, if in your search for a new home you manage to fall in love with one of the older houses, what should you look for before deciding to make an offer?
First, ensure that you and your agent work together with the seller to get a good inspection. Pick an agent that is willing to communicate and explain the process every step of the way.
Make sure the foundation is sound, but don’t stop there. Check out the electrical and plumbing systems. Look at the roof, the walls and – yes – the yard. With our propensity towards flash flooding, does your potential new yard have upgraded drainage?
Speaking of yards, that is one of the greatest advantages of older homes – the lots tend to be much larger than those of newer houses. This means that you may also get a larger garage and a lot more parking for guests – not to mention prettier pools and room for pets to roam.
Many older homes have, thankfully, been updated with newer floors, roofs, and HVAC. With the market on an upswing, you may find a wonderful deal on an older, larger, pre-loved home.
One great thing about Las Vegas real estate is the variety- yes, variety. Contrary to popular belief, Las Vegas is a mecca of various neighborhoods, each offering their own personal positive attributes and value. So, how has the economic fluctuation in real estate affected individual neighborhoods in Las Vegas? And (more specifically) how are areas like Lake Las Vegas fairing in this shaky economy?
According to www.LasVegasRealEstate.org, their prediction of Lake Las Vegas property values (from 1-year ago) shows that some Lake Las Vegas properties may have doubled in value. Homes in this area may be considerably undervalued.
The sheer beauty of the Lake Las Vegas area alone, is enough to warrant such discussion among potential buyers and investors alike! Located 17 miles from the Vegas Strip, Lake Las Vegas features a 320 acre man-made lake, a European inspired stylish local "village" that is home to several shops, casinos, golf courses, eateries and more. Boasting some of the nicest luxury homes in the U.S., Lake Las Vegas also houses some great real estate bargains; condos and homes there were at 20-year lows 12-months ago.
Realty One's Ashely McCormick, claims that Lake Las Vegas "may be (the) most overlooked community for real estate investors due to location". Prices in the area have increased over last few years due to foreclosure rates.
That's the one thing you can count on in this topsy-turvy economy: real estate in Las Vegas is ever-changing.
The Las Vegas housing market has seen a steady increase in prices, mainly due to cash investors. House inventories are down – nearly 24% when compared to last year – which means that there will be more offers on each house that goes up for sale. The increase is particularly apparent among the properties priced at over $120,000.
According to Realtors association President Kolleen Kelley, “There tends to be somewhat of a bidding war on nice properties. Investors are outbidding each other and not getting appraisals.”
This is great news if you are looking to sell your higher-end home, no matter what the job market may look like. It may also mean that you won’t have to settle for a short sale. You might just get your asking price, or more.
Southern Nevada, in particular, has been seeing increases in home prices steadily for six months. While they are still lower than last year, this slow but steady increase is a good trend. Foreclosure sales are dropping, as well – both in the hardest-hit areas of Nevada and the nation as a whole. This good news means that the market is starting to move in a better direction. (3)
A skilled realtor familiar with the local market is your best ally in this somewhat unpredictable market. If you are looking to sell or buy, make sure your realtor is someone who knows the area and who you can trust to do the footwork.
According to the August, 2012 survey conducted by Fannie Mae, 40% of responders believe that the current mortgage rates will increase over the next year. Adding to that the 18% who believe that it is currently a good time to sell and 73% feel it’s a good time to buy, it may seem that the market is finally turning a corner.
Las Vegas is still tied for fifth highest in the US for foreclosures, but the percentage is on the decline. Part of that may be due to legislation making it more difficult for banks to foreclose. Part of that may be due to more banks being willing to allow a short sale. Hopefully, part of that is due to the recent uptick in job availability, as well.
There is concern that banks have either held on to or will be taking possession of thousands of foreclosed properties and may release this glut all at once. This would force prices down yet again, and quickly. The number could be as high as 70,000 properties hitting the market at once, as banks are finding legal loopholes in the “Help for Homeowners” programs and laws that slowed them down this last year.
If this is true, the hope is that the banks will dole out these properties so as not to drive down the market all at once. Meanwhile, there is still a strong demand that is keeping the prices moving upward.
No matter what the rest of the economy is doing, home ownership always trumps renting. While it may seem at first glance thatthe costs of buying are intimidating, as a buyer, you ultimately win. When you calculate out even just five or six years, you will have saved thousands each year. This includes the costs of closing, maintenance, taxes, insurance, and even utilities. CNN Money reports that 98 of the 100 top housing markets still see buying more cost effective than renting.
According to 8newsnow.com, Zillow has calculated that you will see the return on your investment even sooner in the Las Vegas area. At 1.7 years to the break-even point, we are one of the fastest metropolitan areas to receive such a turnaround.
How can that be?
The largest part is the calculation of lost opportunity costs. These include all those fees and deposits that you mayor may not get back from a rental verses what you would otherwise use to invest in ownership.
Add to that the record-breaking low interest rates, and you have a recipe for financial gain.
Nevada has seen a recent decline in foreclosure home sales.
Realty Trac reported this dip in foreclosure sales info on Wednesday night. This is news greatly affects the future of real estate and economy Nation-wide, as well as in the state of Nevada.
A little more about Realty Trac: A foreclosure tracking research company from California. They found that 9,657 foreclosed housing units were sold in Nevada in the second half of this year, which is down 24.6 percent from the first quarter of 2012 and 32.5 percent from the second quarter of 2011.
Las Vegas tied for fifth highest in the nation with 45 percent of its residential sales in the second quarter of 2012 involving foreclosures.
A Nevada law that became effective in October makes it harder for banks to initiate foreclosure proceedings against homeowners who have been late with their mortgage payments. Observers of the trends in local real estate mostly agree that this is the main reason fewer foreclosed homes are available for sale in Las Vegas.
However, there has also been a nationwide decline…The 224,429 foreclosed housing units sold in the U.S. from April-June was 12 percent below the first quarter of 2012, and 22 percent down from the same period in 2011.
RealtyTrac vice president Daren Blomquist states "The second quarter sales numbers provide solid statistical evidence of what we've been hearing anecdotally from real estate agents, buyers and investors over the past few months…There is a limited supply of available foreclosure inventory to choose from in many markets."