Reno Facing Office Space Shortage
A local development official says the low amount of Class A office space available is becoming an obstacle. Our contributor Kaleb Roedel of the Northern Nevada Business Weekly has the story.
Mike Kazmierski is executive director of the Economic Development Authority of Western Nevada, or EDAWN. He says that the market's supply should keep up with demand for the next 18 months, but the region must expand on high-end Class A properties to avoid losing high tech clients and prospects down the road.
Matt Grimes, with CBRE Reno Office Services, says there's a shortage of land available to provide onsite parking right next to any new buildings. Call centers and similar companies might not be able or willing to pay the rates that sites with large parking lots would carry.
Another upcoming issue is that there are many tenants that signed five or seven-year leases during the recession, when rates were lower. With those leases ending, the affected tenants will have to deal with today's higher lease rates.
To read the whole story, please visit the Northern Nevada Business Weekly.