732 & 748 SOUTH RACETRACK ROAD, HENDERSON, NV 89015 · 2018-12-22 · Las Vegas Metro and was ranked 7th in U-Haul’s list of Top 10 US Growth Cities for 2015 and is continuing to

7 3 2 & 7 4 8 S O U T H R A C E T R A C K R O A D , H E N D E R S O N , N V 8 9 0 1 5

RACETRACK PLAZAPLAZARETAIL OR REDEVELOPMENT OPPORTUNITY

BOULDER

HIGHWAY

HORIZON DRIVE

RACETRACK ROAD

ST. ROSE PARKWAY

LAS VEGAS STRIP DOWNTOWN LAS VEGAS

SITE

LOCAL MARKET EXPERTS

SCOT MARKER

Senior Vice [email protected]

MICHAEL STUART

Executive Vice [email protected]

VA L U E - A D D P O T E N T I A L W I T H M U LT I P L E E X I T S

M E D I A N H O U S E H O L D I N C O M E S U R R O U N D I N G T H E C E N T E R I S 5 0 % A B O V E T H E N AT I O N A L

AV E R A G E , A N D P O P U L AT I O N A N D R O O F T O P G R O W T H O F O V E R 8 % I S E X P E C T E D O V E R T H E

N E X T 5 Y E A R S W I T H I N 1 , 3 A N D 5 M I L E R A D I I O F T H E P R O P E R T Y .

RACETRACK PLAZAPLAZA

CONFIDENTIALITY AGREEMENT

The material contained herein is confidential and is presented strictly as information for the exclusive use of the prospective purchaser. Receipt

and review of this offering by the prospective purchaser constitutes an agreement not to divulge, share or distribute the information to any

other party, except the prospective purchaser’s legal counsel and financial advisors, without the prior specific written authorization of the Seller.

Each prospective purchaser shall also agree to and comply with the provisions of the confidentiality agreement executed by such prospective

purchaser prior to receipt of the Offering.

This Offering is submitted subject to errors, changes, omissions, changes in price, market and other conditions. It contains selected information

pertaining to the Property and does not purport to be all-inclusive or to contain all of the information that prospective purchasers may desire. It

should be noted that any and all market analyses, estimates and projections contained in the Offering are provided for general reference purposes

only and are based on assumptions related to the general economy, competition, real estate market trends, and other factors beyond the control

of the Seller. Such analyses, estimates and projections are therefore subject to material variation, and may not be consistent with the views or

assumptions held by other professionals.

The owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property and/or to

terminate discussions with an entity at any time with or without notice which may arise as a result of review of this Memorandum. The Owner shall

have no legal commitment or obligation to any entity reviewing this Memorandum or making an offer to purchase the Property unless and until

written agreement(s) for the purchase of the Property have been fully executed, delivered and approved by the Owner and any conditions to the

Owner’s obligations therein have been satisfied or waived.

TABLE OF CONTENTS

4INVESTMENT SUMMARYInvestment HighlightsProperty Overview

9AREA OVERVIEWCity OverviewCounty Overview

20RETAIL MARKET OVERVIEW

APPENDIXLAS VEGAS MARKET OVERVIEW

7 3 2 & 7 4 8 S O U T H R A C E T R A C K R O A D , H E N D E R S O N , N V 8 9 0 1 5

I N V E S T M E N T O P P O R T U N I T Y

RACETRACK PLAZAPLAZA


114,231 SF

RACE

TRAC

K DR

IVE

EAST HORIZON DRIVE

COLL

EGE

DRIV

E

SOUTH BOULDER HIGHWAY

Copyright © 2018 Colliers International.










114,231 SF

R A C E T R A C K P L A Z A – C o l l i e r s I n t e r n a t i o n a l 5

KMART HENDERSON

Located one-quarter mile from S. Boulder Highway, a major commercial corridor, the Center includes 114,231 rentable square feet, comprised of an available 104,231 RSF anchor box (vacated by Kmart in January 2018) and 10,000 RSF of adjacent in-line space in four suites. The Property is 100% vacant.

Built as a retail center in 1992 and located in the southeast trade area of Las Vegas, this center could be an opportunity for a retail anchor to relocate to take advantage of this stable neighborhood. In addition, the center could be repurposed as a new home development for a single family or multifamily residential developer to benefit from the resurging residential market in a mature neighborhood.

Owner will consider allowing a potential developer time to apply for zoning and close escrow on the property after receipt of the Notice of Final Action from the City of Henderson for Buyer’s intended use. This process could be completed in 4 to 6 months of submittal to the City of Henderson.

In addition to the investor looking for a retail asset to revitalize, this project has strong potential for mini storage or recreational vehicle storage. This property could also be redeveloped as a multifamily-single family residential project. Lastly, there is a long term lease with a cell tower and the annual income is $18,000.00.

EXCELLENT LOCATION WITH STRONG DEMOGRAPHICS IN ESTABLISHED SUBMARKET OF LAS VEGAS

• High visibility location, abundant parking (±500 parking spaces), located on the bus line, minutes away from Boulder Highway and (US) 95 freeway.

• Zoning Description Henderson, Corridor/Community Mixed-Use (MC)

• There are approximately 107,311 households within a 5-mile radius of the property with an average household income of $80,422 in a 1-mile radius.

• Strong traffic counts in excess of 36,000 cars per day at the intersection.

Address 732 & 748 South Racetrack Road

City, State Henderson, Nevada 89105

Offering Price $3,500,000

Rentable Square Feet ±114,231 SF

Land Area ±8.62 Net Acres

Year Built 1992

Number of Suites 5 including anchor box

Parking 4.61/1,000 (530 Spaces)

INVESTMENT HIGHLIGHTS

114,231 SF

6

DOMINANT TRADE AREA WITH FUTURE DEVELOPMENTS & GROWTH

• Henderson is the second largest city in Nevada and part of the Las Vegas Metro and was ranked 7th in U-Haul’s list of Top 10 US Growth Cities for 2015 and is continuing to grow with several major development projects currently planned or underway.

• Another major development underway in Henderson is Cadence, a 2,200 acre master planned community focused around active lifestyles, featuring 450 acres of open space and a 100 acre sports facility.

• Future Union Village, which will be the first Integrated Health Village in the world. It is listed as the largest healthcare building project in the U.S. by Health Facilities Management. The visionary model for health care will offer a world-class hospital complex and health center, residential, entertainment and specialty retail space, a vibrant senior retirement community and a civic and cultural arts center integrated into a master-planned community.

IMPROVING LOCAL ECONOMY

• Las Vegas’s retail vacancy is currently at 8.3%, down from a recession peak of 14% in 2011. The market has also seen a strong housing recovery with prices appreciating approximately 9.6% annually over the last year.

• The unemployment rate in Las Vegas continues to drop and new jobs are projected to grow over 5.2% annually over the next three years.

• Demand for land increased in the 3rd Quarter of 2018- specifically residential land sales in the third quarter of 2018 were 385.4 acres totalling over $155 Million.

INVESTMENT HIGHLIGHTS (cont.)

VA L U E - A D D & R E D E V E L O P M E N T

P O T E N T I A L


The project is located in an established area of Henderson, one-quarter mile northeast of the signalized intersection of S. Boulder Highway (State Route 582) and S. Racetrack Rd. On average, approximately 36,000 vehicles per day cross this intersection.

Specific traffic drivers include Club Fortune Casino, Camping World Service Center, Albertson’s Grocer, Lowes Home Improvement, and shop retailers and restaurants. Nearby, there is a well-known park with soccer & lacrosse fields, as well as a community center for swimming and other public gatherings.

The property’s 104,231 RSF anchor box was previously occupied by Kmart, which closed the store and moved out in January 2018 upon lease expiration. This space offers two dock-high doors and an overhead door.

The property is surrounded by a number of stable residential communities, which could be an opportunity for a new home builder to benefit from a site that was not available a year ago. This is a truly new found site with tremendous potential for a savvy investor.

PROPERTY OVERVIEW

8

SALES COMPARABLES

COMPARABLE 1

COMPARABLE 2

COMPARABLE 3

COMPARABLE 4

COMPARABLE 5

COMPARABLE 6

COMPARABLE 7

COMPARABLE 8

Property Name:

Sunset Place (former Kmart) Russell/Pecos 24 Hour Fitness 179-05-612-001 179-34-202-009 179-07-511-001 178-13-401-015 178-14-312-002

Address: 3760 E. Sunset Rd 3325 E. Russell

Rd 4440 E. Tropicana Ave. Cadence Crest

Ave. SW Conestoga Way & NV Dr. Warm Springs

Rd.& N. Water St. Fiesta Henderson Blvd. 20 N. Gibson Rd.

Year Built: 1988 1987 1979 N/A N/A N/A N/A N/A Anchor Size: 90,921 50,584 49,115 N/A N/A N/A N/A N/A Sale Price: $5,000,000 $3,600,000 $3,300,000 $8,672,400 $5,630,000 $3,970,800 $3,225,000 $4,964,133 Acreage: 9.54 10.53 4.33 23.76 15.69 10.93 10.54 13.36

Date Sold: January 2018 April 2017 January 2017 July 2015 March 2018 November 2016 January 2018 May 2015 Intended

Use: Owner/User EOS Fitness (tenant-in-tow) 24 Hour Fitness

(tenant-in-tow) Raw Land Raw Land Raw Land Raw Land Raw Land Buyer: Church South Las

Vegas Constantino Noval Trop 4440 LP Richmond

American Homes Greystone Nevada, LLC Richmond

American Homes Woodside Homes Nevada West Development

Seller: Somerville Las Vegas Pecos Capital

LLC 840 Alvarado Ent. LLC The LandWell

Company L.P. GST Henderson, LLC The LandWell

Company L.P. Las Vegas

Investments & Realty

The LandWell Company, L.P.


COMP #1 $55 PSF / $5.0 MM

OWNER/USER

COMP #4 $8.24 PSF / $8.6 MM

OWNER/USER

COMP #6 $8.34 PSF / $3.9 MM

OWNER/USER

COMP #7 $7.02 PSF / $3.2 MM

OWNER/USER

COMP #8 $8.03 PSF / $4.9 MM

OWNER/USER

COMP #5 $8.24 PSF / $5.6 MM

OWNER/USER

COMP #2 $71 PSF / $3.6 MM

ANCHOR-IN-TOW AT SALE

COMP #3 $67 PSF / $3.3 MM

ANCHOR-IN-TOW AT SALE

10

4.61/1,000 (530 SPACES)

H E N D E R S O N , N E VA D A

OUTSTANDING INVESTMENT OPPORTUNITY


CLARK COUNTY HIGHLIGHTS

• Clark County is the most populous of Nevada’s 17 counties with 2.1 million residents and 70 percent of the state’s population.

• Clark County is today known as a major tourist destination, with 150,000 hotel rooms, among the world’s top convention destinations, and is home to the world famous Las Vegas Strip.

• Clark County is the nation’s 13th-largest county and provides extensive regional services to more than 2.1 million citizens and more than 45 million visitors a year.

• Includes the nation’s 9th-busiest airport, air quality compliance, social services and the state’s largest public hospital, University Medical Center.

• Tourism’s economic impact for 2014 was $29.8 billion, including $9.6 billion spent on gambling in Clark County.

• Clark County employs more than 10,000 in 38 departments. It has a fiscal year general fund budget of $1.35 billion and a total budget of $6.2 billion.

• The County is known for its strong ending-fund balance, overall financial strength and an investment-quality credit rating. It retains the best bond ratings of any local government in the state with an “Aaa” from Moody’s Investors Service and an “AA+” from Standard & Poor’s.

• Clark County is home to four gaming headquarters, making Nevada one of Fortune Magazine’s “States That Dominate” meaning states that have more than 50 percent of all company headquarters in a specific industry.

ABOUT CLARK COUNTRY

Clark County is the nation’s 13th-largest county

and provides extensive regional services to more

than 2.26 million citizens and more than 46 million

visitors a year. Known as a major tourist destination,

Clark County is home to over 150,000 hotel rooms,

the world’s top convention destinations, and the

world famous Las Vegas Strip. Tourism’s economic

impact on Clark County for 2016 was nearly $60

billion, including $6.4 billion spent on gambling

on the Las Vegas Strip, according to Las Vegas

Convention and Visitors Authority data.

AREA OVERVIEW

12LAS VEGAS, NEVADA

DOWNTOWN LAS VEGAS

MCCARRAN INTERNATIONAL AIRPORT

LAS VEGAS STRIPUNLV

SUBJECT PROPERTY


HENDERSON, NEVADA

Henderson is located in Clark County, Nevada, 16 miles southeast of downtown Las Vegas. It is the second largest

city in Nevada, after Las Vegas, with an estimated population of 302,070 in 2018. In 2011 and again in 2017,

Henderson was ranked as one of the top ten “Safest Cities in the United States” by Forbes Magazine. In addition

to the City’s low crime rate, it has been named as “One of the Best Cities to Live in America” by Bloomberg

Businessweek and one of “the best places to retire” by Money Magazine. In 2018 Standard & Poor’s (S&P),

upgraded the City of Henderson’s bond rating to AA+ with a stable outlook, making it one of the highest bond

ratings of any city in Nevada.

• Henderson’s 22 Master Planned Communities are looked at as models throughout the southwestern United States. Developers fund roads, water, sewer and other infrastructure through Limited Improvement Districts. Developers also contribute land for school sites, park sites and fire stations. The costs for this infrastructure and amenities are included in the sale price of the home.

• Sports and Entertainment The NFL Raiders practice facility will be located in Henderson, NV. Southern Nevada is home to the Vegas Golden Knights NHL championship finalist and will soon be home to the NFL Raiders and is a hub for many other professional franchises such as the longtime home of the 51’s Triple A baseball, the WNBA and the new Las Vegas Lights FC.

• Convention Centers While Las Vegas has historically been known as a gaming destination, the city’s diverse non-gaming allure continues to strengthen and has far surpassed gambling demand. One such demand driver is the unparalleled convention and meeting space capacity available throughout the city. In 2017, Las Vegas held nearly 20,000 conventions and hosted over 6.6million convention delegates.

POPULATION 1 MILE 3 MILES 5 MILES

2018 Estimate 4,264 33,879 103,611

2023 Projection 4,611 36,039 111,291

2018 HOUSEHOLDINCOMES

1 MILE 3 MILES 5 MILES

AVERAGE $92,295 $74,256 $75,332

MEDIAN $68,367 $57,360 $60,912

DISTANCE TO/FROM PROPERTY

LAS VEGAS STRIP 12 MILES 16 MINUTES

LOS ANGELES 260 MILES 4 HOURS 30 MINUTES

EMPLOYER # OF EMPLOYEES*

CITY OF HENDERSON 2,924

ST. ROSE DOMINICAN HOSPITAL 1,500 - 1,999

GREEN VALLEY RANCH STATION CASINO 1,500 - 1,999

SUNSET STATION HOTEL & CASINO 1,500 - 1,499

*Approximate

DEMOGRAPHICS


SOUTHEAST LAS VEGAS SUBMARKET -

SHOPPING CENTERS

According to CoStar, the Property is located in the Southeast Las Vegas submarket, which has the largest inventory of shopping center space of the 13 submarkets in the larger Las Vegas market.

The submarket contains 183 shopping centers comprising over 11.9 million SF, and vacancy was reported to be 8.1% at the end of June 2018. The average quoted NNN rental rate as of June 2018 was $16.47/SF, in line with the $16.41/SF average. Additionally, the submarket experienced positive net absorption of 148,000 SF in 2017 and 16,851 SF during the 6 months ending June 2018, reflecting approximately 16% of marketwide shopping center absorption.

For comparison, the submarket had 30,000 SF of shopping center space under construction at year-end 2017, reflecting approximately 19% of the Las Vegas market’s shopping center delivery pipeline.

LOCATION OVERVIEW

Las Vegas Market Southeast Las VegasSubmarket

All RetailShoppingCenters

All RetailShoppingCenters

Overall Vacancy: 6.9% 10.0% 8.2% 8.1%

Quoted Rate (PSF): $16.84 $16.41 $17.14 $16.47

Number of Buildings: 7,434 1,026 1,275 183

YTD Net Absorption (SF):

1,822,353 937,063 197,324 147,636

Total RBA (SF): 114,544,973 53,175,62721,336,33

411,927,093

Under Construction (SF): 498,822 162,783 62,732 30,143

SOUTHEAST LAS VEGAS SUBMARKET -

LAND

Activity Fluctuates in Third Quarter

Southern Nevada’s land market saw 52 sales in the third quarter of 2018, slightly fewer sales as were recorded one year ago, and less than half the number of sales one quarter ago. A total of 1,242 acres were sold, with a sales volume of $245.8 million and an average price of $4.54 per square foot. Year-to-date, Southern Nevada has seen more acreage sold than in 2017, and is not on pace to surpass 2016. Sales volume in the third quarter of 2018 was higher than sales volume one year ago.

Approximately 1,553 units of multifamily were completed in the first half of 2018 on 62.6 acres. There were 10,504 units of multifamily under construction or planned in Southern Nevada on 431.9 acres. Residential land sales in the third quarter of 2018 were 385.4 acres with sales volume of $155.4 million. The average sales price of residential land was $9.26 psf, an increase of $3.86 psf from the third quarter of 2017.

Homebuilders are running low on improved lots in the Valley, and large contiguous acreage on which to build, and industrial developers are finding parcels well suited to development harder to find. Lack of available land is putting upward pressure on prices, and this could potentially slow land sales going into 2018.

LOCATION OVERVIEW


Land Market

SUBMARKET SALES ACREAGE SOLD SALES VOLUME AVERAGE SALES PRICE (PER SQUARE FOOT)

HENDERSON 3 35.94 $11,907,237 $7.61

Commercial 1 4.57 $2,582,237 $12.97Industrial - 0.00 $0 n/aResidential 2 31.37 $9,325,000 $6.82

RACETRACK ROAD

SAUSALITO DRIVE

SITERESIDENTIAL LAND

SALES ACTIVITY

HOMEBUILDERS ARE RUNNING LOW ON IMPROVED LOTS IN

THE VALLEY

T Y P E

A P N s

L A N D A R E A

Z O N I N G

Y E A R B U I LT

P A R K I N G

N E I G H B O R H O O D S H O P P I N G C E N T E R

1 7 9 - 2 1 - 3 1 1 - 0 0 9 & 1 7 9 - 2 1 - 3 1 1 - 0 1 0

8 . 6 2 A C R E S / 3 7 5 , 4 8 8 S F

C O R R I D O R / C O M M U N I T Y M I X E D - U S E

1 9 9 2

4 . 6 4 / 1 0 0 0

H I G H V I S I B I L I T Y L O C AT I O N , A B U N D A N T P A R K I N G ( ± 5 0 0 P A R K I N G S P A C E S ) , L O C AT E D O N T H E B U S L I N E , M I N U T E S AWAY F R O M B O U L D E R H I G H WAY A N D U S 9 5 F R E E WAY .


SOUTH RACETRACK ROAD

BOULDER HIGHWAY

104,231 SFDivisible

4,000 SF

2,000 SF2,000 SF2,000 SF

CELL TOWER

SITEPLAN

Las Vegas Retail Market O ver view20

RETAIL MARKET OVERVIEW

Historical Vacancy Rates and Asking Lease Rates

Extending the Streak

> Demand increased for the second straight quarter

> Retail inventory expanded faster than demand, increasing the vacancy rate

> Asking rental rates decreased slightly in the third quarter of 2018

“The retail market was the first commercial real estate segment to recover after the Great Recession, and appears to have settled into a new normal with higher vacancy rates than in the pre-recession era.”

After a short pause at the beginning of 2018, Southern Nevada’s retail market is back on track and growing. Net absorption improved for the second straight quarter, reaching 137,573 square feet in the third quarter of 2018. Vacancy increased to 8.2 percent due to the addition of 184,000 square feet to retail inventory. Asking rental rates decreased to $1.36 per square foot (psf) on a triple-net (NNN) basis from last quarter’s $1.38 psf NNN.

$1.28

$1.30

$1.32

$1.34

$1.36

$1.38

$1.40

$1.42

7.9%

8.0%

8.1%

8.2%

8.3%

8.4%

8.5%

8.6%

4 Q 2016 1 Q 2017 2 Q 2017 3 Q 2017 4 Q 2017 1 Q 2018 2 Q 2018 3 Q 2018

Vacancy Asking Rental Rate

Market Indicators Relative to prior period Q3 2018 Q4 2018*

VACANCY

NET ABSORPTION

CONSTRUCTION

RENTAL RATE

*Projected

Summary Statistics Las Vegas Market Q3-17 Q2-18 Q3-18

Vacancy Rate 8.4% 8.1% 8.2%

Asking Rent (PSF, NNN) $1.34 $1.38 $1.36

Net Absorption (SF) 68,470 124,512 137,573

New Completions (SF) 119,220 25,400 184,000

Overall Asking Rents Per Square Foot Q3-17 Q2-18 Q3-18

Power Center $1.52 $1.51 $1.42

Community Center $1.33 $1.37 $1.42

Neighborhood Center $1.42 $1.37 $1.32

Strip Center $1.24 $1.34 $1.32

+3.6%

RETAILTaxable Sales

RETAILEmployment

+6.7

RETAILSF/Job

+0.9%

Q32018

Economic Indicators


According to the Nevada Department of Employment, Training and Rehabilitation, Southern Nevada’s retail job market improved in July 2018, adding approximately 2,800 jobs since July 2017. Over this period the Valley added 400 jobs in the food & beverage sector and 200 jobs in the health & personal care sector. In the food services and drinking places sector, which is not technically included in the retail category, Southern Nevada added 1,900 jobs since July 2017.

According to our formula, retail employment that directly impacts the retail centers covered in this report increased by 3,223 jobs over the past twelve months. Unemployment in the Las Vegas-Paradise MSA stood at 4.7 percent in July 2018, down from 5.4 percent in July 2017. From July 2017 to July 2018, total employment in Southern Nevada increased by 37,600 jobs, a 3.9 percent increase.

The Nevada Department of Taxation reports that Clark County’s taxable retail sales for the past twelve months (July 2017 to June 2018, the most recent month of data available) totaled $30.4 billion, up from $29.4 billion in the previous twelve months. In the past twelve months taxable sales were $4.8 billion in the automotive sector, $10.8 billion in food service and $14.5 billion in other retail (excluding gas stations).

The highest year-over-year growth in taxable retail sales were in miscellaneous retail (39.4 percent), food and beverage stores (11 percent growth) and health and personal care stores (6.3 percent growth). Year-over-year taxable sales also increased in the automotive, home and garden, clothing, gas station and general merchandise categories. Taxable sales decreased in furniture, sporting goods and hobbies and electronics and appliances. Non-store retailers posted 5.2 percent year-over-year growth.

Two retail projects were completed in the third quarter of 2018, a 51,000 square foot neighborhood center in the University East submarket and a 133,000 square foot community center in the Southwest submarket. The fourth quarter of 2018 should see the completion of 312,804 square feet of new retail space. Over 2.0 million square feet of retail is planned for completion in 2019 or beyond, with just over 1.0 million square feet of it likely to be completed.

Net absorption was 137,573 square feet in the third quarter of 2018, bringing total net absorption this year to 236,282 square feet. This is an increase from the 178,669 square feet of net absorption in the first three quarters of 2017. Year-to-date net absorption was highest in neighborhood centers at 169,877 square feet. It was lowest in power centers, at negative 143,755 square feet. Community centers had 120,971 square feet of net absorption, while unanchored strip retail centers had 89,189 square feet of net absorption.

Historical Net Absorption vs.Completions

Occupancy vs.Retail Employment

-50,000

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

4 Q 2016 1 Q 2017 2 Q 2017 3 Q 2017 4 Q 2017 1 Q 2018 2 Q 2018 3 Q 2018

Net Absorption Completions

91.1%

91.2%

91.3%

91.4%

91.5%

91.6%

91.7%

91.8%

91.9%

92.0%

81,000

82,000

83,000

84,000

85,000

86,000

87,000

88,000

89,000

90,000

4 Q 2016 1 Q 2017 2 Q 2017 3 Q 2017 4 Q 2017 1 Q 2018 2 Q 2018 3 Q 2018

Retail Jobs Occupancy Rate

Las Vegas Retail Market O ver view22

APPENDIX LAS VEGAS MARKET OVERVIEW


APPENDIX LAS VEGAS MARKET OVERVIEW

2COLLIERS INTERNATIONAL – LAS VEGAS MARKET OVERVIEW

Las Vegas Area Overview

Over 42.2 millionpeople visited Las Vegas in 2017.

Clark County, the most populous of Nevada’s 17 counties, is home to more than two million residents, about 73% of the state’s population. The estimated median household income is approximately $55,303. The city of Las Vegas sits at the heart of Clark County and is internationally renowned as the world capital of entertainment. Las Vegas’ gaming, dining, shopping and business conventions are major attractions for national and international visitors. Las Vegas has approximately 147,268 hotel rooms.

Statistic 2013 2014 2015 2016 2017

Visitor Volume 39,668,221 41,126,512 42,312,216 42,936,109 42,208,100

Gaming Revenue $9.6bn $9.5bn $9.6bn $9.7bn $10.8bn

Room Occupancy 84.3% 86.8% 87.7% 89.1% 88.6%

Average Daily Room Rates $110.72 $116.73 $120.67 $125.96 $129.05

Convention Delegates 5,107,416 5,169,054 5,761,366 6,310,616 7,259,100

Total En/Deplaned Passengers 41,8557,009 42,878,346 45,389,074 47,435,640 48,500,194

Room Inventory 150.103 150,126 149,612 149,339 147,268

L A S V E G A S E C O N O M I C T R E N D S (Las Vegas Convention and Visitors Authority)

V I S I T O R V O L U M E V S . G A M I N G R E V E N U E


Las Vegas Employment OverviewAs of 2018, Las Vegas unemployment stands at 4.8%, which is about 30 basis points lower than it was in 2017 at 5.1%. Tourism is the largest job sector in Las Vegas, representing 29.5% of the market, but professional and business services and retail trade have a significant impact as well, representing 14.0% and 10.3% of the market, respectively.

Firm Employees

Station Casinos Inc. 13,000-13,499

Nellis Air Force Base 12,000-12,499

Boyd Gaming Corp. 9,000-9,499

Las Vegas Sands Corp. 8,500-8,999

Wynn Las Vegas LLC 8,000-8,499

MGM Resorts International 8,000-8,499

Bellagio LLC 8,000-8,499

Aria Resort & Casino 7,000-7,499

Mandalay Bay Resort & Casino 7,000-7,499

Wal-Mart Stores Inc. 6,000-6,499

Caesars Entertainment Corp. 5,500-5,999

The Valley Health System 5,000-5,499

University of Nevada-Las Vegas 5,000-5,499

Las Vegas Metropolitan Police Department 4,500-4,999

Mirage Casino-Hotel 4,500-4,999

The Venetian Casino Resort 4,000-4,499

SUPERVALU Inc. 4,000-4,499

Cosmopolitan of Las Vegas 4,000-4,499

The Palazzo Casino Resort 3,500-3,999

University Medical Center of Southern Nevada 3,000-3,499

L A S V E G A S T O P E M P L O Y E R S

Gaming, government, tourism and education are the leading areas of

employment in Las Vegas. Although in recent years, several new industries

such as data centers, high tech manufacturing and healthcare services are

helping to diversify the local economy.

300,000 new jobsExpected In The Next 20 Years With Major Gains In Technology, Healthcare & Infrastructure Sectors

$2.5 Billion+In Manufacturing/Tech Facility Investment Underway

$4 Billion+In Public Infrastructure Investment Underway

Prestigious Companies8 Fortune 1000 Companies Headquartered In Las Vegas


Las Vegas Highlights

20,000 SeatsT-Mobile Arena, a multi-use indoor arena

on the Las Vegas Strip opened in April 2016

Steady GrowthThe University continues to grow with a total student headcount of 30,471 (2017)

NHL ExpansionT-Mobile Arena will host over 150 events per year and is the current home of the

NHL Golden Knights

Mandalay Bay Convention Center

recently underwent a 350,000 square foot expansion and is now one of the largest in

North America

The Las Vegas RaidersThe relocation of the Oakland Raiders is anticipated to create a $600+ million

economic impact add 450,000+ incremental visitors and host 45+ events annually

LVCC ExpansionLas Vegas Convention Center

is currently undergoing a $2.5 billion, 600,000 square foot expansion to absorb

excess demand

MSG SphereA revolutionary new 18,000-seat venue for concerts, sports and live entertainment that

will be completed in 2020.

$1 billion public works project

underway to modernize and expand Las Vegas vehicular infrastructure


#1 Trade Show Destination for 24 consecutive years-Trade Show News Network

Las Vegas

#3 and #9 Largest Convention Centers in the U.S. are Located in Las Vegas

Las Vegas visitation numbers hit a new peak of 42.9M visitors in 2016, a 10% increase over its pre-recession peak. There was a 17.8 increase in International visitation from 2013-2015. McCarran International Airport has benefited from the increased visitation, making it the No. 27 busiest airport in the world in 2017.

66,500 jobs and generates more than $9.3 billion in economic impact. The Las Vegas M.I.C.E . (meetings, incentives, conferences, and events) sector

Convention CentersWhile Las Vegas has historically been known as a gaming destination, the city’s diverse non-gaming allure continues to strengthen and has far surpassed gambling demand. One such demand driver is the unparalleled convention and meeting space capacity available throughout the city. In 2017, Las Vegas held over 21,000 conventions and hosted over 6.6 million convention delegates. Las Vegas also hosted 5 of the top 10 and 9 of the top fifteen largest conventions/trade shows held in the U.S.


Developments in the Las Vegas valley

$1.9 Billion estimated cost Las Vegas’ First NFL Team – On March 27th, 2017, the NFL owners approved the Raiders’ relocation to Las Vegas. The $1.9 billion stadium is expected to take three years to build and will be located near the southern end of the Las Vegas Strip (near Mandalay Bay). This new stadium will also host world-class events including college football games, big-name concerts, major UFC fights, March Madness, soccer matches and political events. The Raiders are expected to play in the 65,000-seat domed stadium by the 2020 season. The Southern Nevada Tourism Infrastructure Committee (SNTIC) estimates that Las Vegas can expect $100 million worth of media exposure a year from the Raiders which is excellent publicity across the Las Vegas community.

NFL - LAS VEGAS RAIDERSProfessional Sport

FranchisesAs a means to continue the diversification

of its economy, Nevada successfully received its first professional sports

franchise in 2016 concurrent with the completion of its T-Mobile Arena.

Furthermore, in November 2016, Las Vegas approved a hotel tax ordinance to

help fund the stadium for the NFL’s Oakland Raiders relocation.


Also restoring the 18-hole Tom Fazio-designed golf course Wynn Resorts Ltd. is moving forward with its 400,000 SF Convention Center construction. The convention center is under construction just north of Sands Avenue and east of the Wynn Las Vegas tower. They’re also restoring the 18-hole Golf Course. “We actually went back and re-engaged Tom Fazio, who was the original designer of our golf course to come in and take a look at the couple holes that were disrupted by this 400,000-square-foot convention center and see if we can design a new 18-hole golf course connected to Wynn and Encore and have that back in back in action before our convention center opens.”

$4 Billion estimated cost Broke ground May of 2015. Upon their 2020 completion date, this $4 billion Asian-themed resort will include 3,000 hotel rooms and will consist of 175,000 square feet of gaming. It’s estimated that there will be 3,500 slot machines and table games. Genting BHD, Southeast Asia’s largest casino operator, is developing this property in multiple phases. The first phase is expected to be completed in 2019. Once fully finished, there will be three towers totaling the room count to 3,400. Resorts World Las Vegas will help the Las Vegas employment market by employing 13,000 direct and indirect jobs. It will also contribute greatly to the Las Vegas economy which is projected to generate $155 million in annual tax revenue.

$2.3 Billion estimated cost The Las Vegas Convention and Visitors Authority (“LVCVA”) has a planned expansion and renovation project intended to make the Las Vegas Convention Center the best meeting and convention facility in the World. The $2.3 billion project, named the Las Vegas Global Business District, is the largest economic development initiative the LVCVA has undertaken since the Las Vegas Convention Center was originally built in the late 1950s. The expansion project is expected to lead to an additional 480,000 new attendees as current conventions grow and through attracting an estimated 20 new trade shows and conventions.

$450 Million estimated cost MGM Resorts International and Sydell Group announced a partnership to rebrand Monte Carlo Resort & Casino with two distinct hotel experiences — Park MGM and NoMad Las Vegas. Costing approximately $450 million to construct, the renovation and rebrand will touch every aspect of the property. Experiences include: “a Las Vegas version of Sydell’s widely acclaimed NoMad Hotel, and the launch of a new luxury hotel named Park MGM.” Construction is expected to commence in late 2016 and conclude in late 2018.

400,000 SF CONVENTION CENTER CONSTRUCTION

RESORTS WORLD

LAS VEGAS CONVENTION CENTER EXPANSION

PARK MGM & NOMAD LAS VEGAS

Developments in the Las Vegas ValleyThis popular destination is the 28th largest Metropolitan Statistical Area in the United States with over two million residents. With its strong economic recovery, Las Vegas has about $15 billion in construction projects that are planned, proposed or under construction. The following pages include a summary of these projects.


Developments in the Las Vegas valley

360 feet tall and just off the McCarran International Airport flight pattern The facility, to be built on a 63-acre lot east of the Sands Expo Center, The Venetian and the Palazzo, will be connected to the convention center by a pedestrian bridge. The 400,000-square-foot facility will be built on an open-air storage lot at Sands Avenue between Koval Lane and Manhattan Street.

18,000-SEAT MSG SPHERE LAS VEGAS

Developers closer to beginning work on MSG Sphere Las Vegas


$1.6 Billion estimated cost Union Village is the first Integrated Health Village in the world and is listed as the “largest healthcare building project in the United States,” according to Health Facilities Manage-ment. This +/-$1.6 billion project is located at U.S. 95 and Galleria Drive in Henderson, Nevada. Sitting on 228-acres, this mixed-use healthcare complex is projected to create more than 17,000 direct, indirect and construction jobs. Once fully complete in 2022, it is expected to attract 15,000 to 30,000 people a day. Henderson Hospital opened fall of 2016 and is located inside the Union Village development. Costing $168 million to construct, this local acute-care hospital is part of the Valley Health System.

$3.6 Billion estimated cost The Las Vegas Medical District was initially concieved in 2002 in order to created a cohesive area for medical education and healthcare that was central to the Las Vegas Valley. It is currently undergoing a $3.6 billion expansion which is inclusive of a UNLV Medical School. This district is expected to bring in $181 million in Government revenue, as well as 24,182 jobs by 2030.

$1.4 Billion estimated cost The All Net Arena’s site is located on the north end of the Las Vegas Strip where the former Wet ‘n’ Wild site was once located (just south of the SLS Resort). Construction is underway on this $1.4 billion project and will consist of +/-860,000 square feet once completed in 2019. Additionally, the All Net Arena will include a 22,000 seat retractable roof, a Victory Plaza shopping/dining district, and a 44-story hotel with 500 specialty suites.

$900 Million estimated cost Project Neon is the largest public works project in Nevada history. Costing $900 million to complete, this project will widen 3.7 miles of Interstate 15 between Sahara Avenue and the “Spaghetti Bowl” interchange in downtown Las Vegas. This is known for being the busiest stretch of highway in Nevada with 300,000 vehicles per day (one-tenth of the state population). Currently, this corridor has approximately 25,000 lane changes in an hour and it’s been predicted that traffic will double along this stretch by 2035. Project Neon has an estimated completion date of 2019.

UNION VILLAGE LAS VEGAS MEDICAL DISTRICT & UNLV MEDICAL SCHOOLLAS VEGAS

ALL NET ARENAPROJECT NEON

Developments in the Las Vegas ValleyThis popular destination is the 28th largest Metropolitan Statistical Area in the United States with over two million residents. With its strong economic recovery, Las Vegas has about $15 billion in construction projects that are planned, proposed or under construction. The following pages include a summary of these projects.

LOCAL MARKET EXPERTS

SCOT MARKER

Senior Vice [email protected]

MICHAEL STUART

Executive Vice [email protected]


114,231 SF

Documents

732 & 748 SOUTH RACETRACK ROAD, HENDERSON, NV 89015 · 2018-12-22 · Las Vegas Metro and was ranked 7th in U-Haul’s list of Top 10 US Growth Cities for 2015 and is continuing to