How much does it cost to lease retail space

how much does it cost to lease retail space

1 Answer

I used to be in contact with someone that could answer this question fairly easily about Silver Legacy. Unfortunate that is no longer the case.

A little poking around gives a decent idea of how much one can expect to pay. Comparing commercial real estate in Reno, Las Vegas, Biloxi, and Atlantic City and comparing that with the economies, populations, and growth of each city, I would expect rates to be $30-50/SF/year.

In Biloxi, space next to a WalMart in a shopping center ran $12-18/SF/year. Homes were between $200k and $500k.

In AC, casino space ran $40-60/SF/year while general retail was more like $13. A small condo was between $75k and $300k.

In Reno, a similar space ran $11-130/SF/year. River front property (next to the casinos) ran into the $20-30 range. Property on campus (Nevada) was

in the same range as river front. Downtown condos peaked at about $600k.

Biloxi and Atlantic City are much more similar to each other than they are to Reno. Reno is much larger than both of them. The metro areas might be larger, but I didn't check into that. Biloxi and AC are also more vacation destinations. They have more and better casinos that will receive much more traffic especially from people looking to spend money. Reno's economy is primarily driven by logistics, not gaming, so the casinos probably wouldn't be able to command a higher price for a space.

I primarily used LoopNet, Wikipedia, and Zillow to compare commercial and residential real estate.

I think I covered all I intended to.

687 views • Written 119w ago • Not for Reproduction • Asked to answer by Erik Fair


Category: Credit

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