Southern Nevada’s retail market saw 192,581 square feet of net absorption for 2014, an improvement over the prior year despite some shakiness, reports Matt Stater, research manager for Colliers International Las Vegas. Meanwhile, vacancy increased to 9.5%, which is 0.3% higher than in 2013 partly due to more retail construction. There was 343,313 square feet of new projects completed in 2014, compared to a meager 8,000 square feet of new retail construction the year prior. “If 2014 was the test for speculative retail development in Southern Nevada, it remains hard to say whether we passed or failed – maybe a solid ‘C,’” said Stater. “Nevertheless, more construction is on the way in 2015.” For more information, CLICK HERE.
Category – Retail – Rural
Great Clips signed a 63-month $133,776 lease for 1,200 square feet of retail space inside the 17-year-old Mesquite Smith’s Plaza at 330 N. Sandhill Blvd., Suite 330-C, in Mesquite. Cushman and Wakefield-Commerce’s Dan Hubbard represented the lessor, Las Virgenes LLC. The reported average rent equals $1.77 per square foot triple net.
White Mar Capital Pahrump LLC bought a 24,750-square-foot strip retail center, on 1.38 acres, at 1360 E. Highway 372 in Pahrump for $827,000, or $33-per-square-foot, from Swiss Ltd. Colliers International’s Scot Marker represented the seller; Colliers International’s Frank Marretti represented the buyer.
An unnamed investor bought the 7-year-old 5,951-square-foot strip retail building inside the Wal-Mart-anchored Pahrump Valley Junction, on 12.2 acres, at 240-B S Hwy 160 in Pahrump, Nevada, for $1.7 million or $286-per-square-foot. Marcus & Millichap’s Ray Germain and Candance Carrell represented the seller.
Southern Nevada retail vacancy slipped to 9.1% in the second quarter for a one-point increase from one year ago, says Colliers International research manager John Stater. The average retail asking rent dropped to $1.30 per square foot, which is a 2-cent decrease from a quarter ago and 4 cents less than last year. The upside, net absorption was 200,995 square feet in the second quarter for a significant increase over last quarter, which saw negative net absorption. For more information, CLICK HERE.
Two trends could make Halloween a treat for Nevada retailers this year. The National Retail Federation (“NRF”) estimates 68.6 percent of Americans 18 years and older will celebrate Halloween this year, the most in the NRF’s survey history. Additionally, those celebrating are expected to spend approximately $72.31 on decorations, costumes, candy and other holiday items, up $6.03 from the $66.28 reported last year. Assuming national trends materialize in Nevada, 1.4 million residents 18 years and older will spend money on the holiday this year. If each Nevadan celebrating the holiday spends the expected average of $72.31, total spending in the state will reach $99 million. The current year estimate represents an increase of 17.3 percent compared to last year when an estimated 63.8 percent of the population celebrated the holiday, spending $66.28 on average.
“Although people generally do not put as much money into celebrating Halloween as the December holidays, it is encouraging to see an upward trend in expected spending this year,” Retail Association of Nevada President Mary Lau said. “We remain optimistic that spending trends will continue to track ahead of last year, providing a boost for the Nevada economy.”