LAS VEGAS -- Office buildings and strip malls are slowly filling up. Commercial real estate is traditionally a year and a half behind residential, but thanks to more local business owners and franchisees setting up shop, the vacancy rates are going down.
Town Square is now a mix of chains and local stores. On Saturday, the newest tenant, the Container Store, will open its first location in Nevada.
Retail is the one area in commercial real estate that is growing. Office space isn't, with nearly a quarter of all the space in the city vacant. Industrial space vacancy is at about 15 percent, which is down from a year ago. But these numbers are still significantly low compared to national averages.
One local expert says the numbers won't change until companies start hiring.
"Any major jump is going to be due to employment. Really, commercial real estate is just a place to store workers while they're working. And if you do not have a demand for more workers, or if you're not hiring more workers, you just don't need more commercial real estate," said John Stater with Collier's International.
The shopping center at Eastern Avenue and Serene, just off the I-215, is booming. There is only one space open.
Rents have been at historical lows, so a lot of tenants have been able to renegotiate their rents to lower rates, while others business owners, like the dollar stores, have been able to get into buildings they previously couldn't afford.