Are two new Las Vegas attractions better than one?
March 5, 2012 | 
Author On March 1st construction began for the 500ft Skyvue observation wheel located on the South end of Las Vegas Blvd across the street from Mandalay Bay Casino. The other observation wheel, standing at 550ft is The High Roller located behind the Flamingo Hotel and Casino. Las Vegas will soon be home to the biggest observation wheels in the world and it will change the skyline forever. So could this just be what Las Vegas needs to bring in new tourism to the Strip or is Las Vegas just spinning its luck with the two wheels? Tyler Mays an Advisors here at Fortis, who is a native Nevadan, believes that adding new excitement to the Strip is always a good idea. "People come back to Vegas because it’s always a different experience here" says Mays. These wheels will definitely have tourist coming back. Each wheel is offering a different type of view of the Las Vegas Strip and Valley. The observation wheels will provide a chance to see the incredible scenery and sunsets Las Vegas has to offer, which is truly a breath taking experience. Not to mention the construction and permanent jobs created as a result are a welcome boon to an economy in the initial stages of recovery from a deep recession.
More Energy Efficient Buildings
Global warming has no direct affect on income property values, but over the past few years it has created a revolution. Developers and owners have been seeking more efficient ways to reduce heating and cooling costs, provide clean air, reduce noise, and minimize energy output and in turn, create more energy efficient buildings whether obtaining actual LEED certification or not. The benefit to building with these characteristics is lower operating expenses; higher net operating income (NOI), more cash flow and better liquidity than competitive properties without energy effiicent initiatives. Each anti-global warming investment can project savings and add on to the NOI. Such an Investment can be an added to bump to the property value through by commanding a lowers cap rate upon sale.
The market doesn’t seem stable, should I wait to purchase income property?
This is one of the most asked questions in the real estate industry. Unfortunately, there is a never a clear cut answer to this question but if you purchase smart then you don’t have to worry about a right time. The key for being successful in income property investments strategy is positioning, which means buying correctly.
Understanding the Real Estate Cycle
When you look at any particular market, you can determine what phase the real estate cycle is in by understanding the following:
What is the difference between Grade A, Grade B and Grade C office space?
Office properties and executive suites are often grouped into three general categories, based on criteria such as location, age of building, maintenance and length of leases. This indicates the quality and standard of the office building. Note that there is no clear definition that specifies exactly what a building needs to make a certain grade.
How Does an Appraisal Work?
An appraisal is a trained appraiser's "expert" estimate of the value of a property. Appraisals are necessary whether you are selling, purchasing or even re-financing a property. For several reasons, an appraisal is very important to have for any type of property. Most people believe that an appraisal is just the inspection of the property, but the inspection is just the beginning and a small part of the process. The inspection can take less than an hour to several hours, depending on the size and complexity of the property. For commercial real estate proeprties, after the inspection, the appraiser researches public ownership and zoning records, investigates the demographics, lifestyle information, compiles comparable sales, replacement costs, and the base rental rates received relative to expenses paid out. The appraiser then will analyze the information as it relates to the value of the property. Finally, the appraiser then writes a report on their findings and what they believe the value of the property is. With commercial real estate investment property, apparaisers will often use a weighted average of 2 or 3 appraisal methods including cost approach, income approach and comparable sales. For help valuing a property you own or are considering buying, feel free to contact us to discuss.
Are you thinking about bidding on the upcoming Las Vegas commercial real estate auction?
Before bidding on properties at the upcoming Auction.com Las Vegas sale, it's important to know the story behind the sales. This sale is very unlike the May 2011 sale. In that previous sale, the Las Vegas commercial real estate and notes being auctioned were truly distressed deals. This time many of the properties are flips. Don't be the "greater fool"! There may be some good opportunities however you need to know which ones are legitimately distressed asset sales whereas others are not There are several apartments, retail, office and industrial properties and notes. Contact me for the insider info.
Can you sell or lease commercial real estate space without a real estate license?
If you are the owner of the commercial real estate then the answer is yes you do not need to obtain a license. If you are not the owner of the commercial space then the answer varies in different states. If your state is like Nevada then it’s required to obtain a real estate license to sell or lease commercial property that is not owned by you. Only a licensed real estate broker or agent is permitted to perform real estate transactions. A broker can be an agent, but an agent cannot be a broker if he is not licensed as a broker. The only difference is that an agent is generally an independent contractor but still works under a broker. The broker carries legal liability over his agent’s acts of misconduct under "respondeat superior” (Latin for "Let the Master Answer").
Title Defects and Commercial Real Estate
What if the legal title to a transaction has a defect? Can I still proceed with the deal?
You as a buyer are free to accept and take the risk of the title defect however each situation is different and you should make sure to consult an attorney to minimize risk.
Infill Las Vegas commercial real estate
The Great Recession stalled the expansion of Las Vegas and developers pushing commercial and residential growth to the outskirts of the Las Vegas Valley leaving patches of undeveloped land scattered thought out the city. Land prices have now decreased enough to make a significant profit from infill developments. Don’t miss out on this great opportunity to be a part of our city’s turn around. Infill sites rarely available for a many years due to overpricing are now available at pricing that makes sense. For instance, the 8.5 acre site adjacent to the convention center shown here recently sold for $1,000,000. At the height of the market, it would have been worth over 5 times that amount. Another benefit of infill development is that it can be especially beneficial to the community as it aids in diversifying the economy and enhancing quality of life while creating a more walkable city.