NAI Excel & NAI Vegas release its 2020 Decade In Review covering Las Vegas, Southern Utah and Northern Utah

120 Million SF of Commercial Construction Projected Along I-15 Corridor

The I-15 corridor is experiencing significant growth as road projects try to keep pace with increased traffic. Population estimates from the Kem C. Gardner Policy Institute and Nevada State Demographer suggest that the population increased by nearly 850,000 people from Salt Lake to Vegas in the last decade.  Data also indicates that over 95 million square feet of office, retail, and industrial buildings were constructed during the same period.

“Population growth is the single most significant driver of commercial real estate construction”, commented Jon Walter COO of NAI Excel and NAI Vegas.  In their recent publication, 2020 Decade in Review, commercial construction data is presented for markets from Salt Lake to Vegas over the last ten years.  Projections are also made for future commercial construction based on population estimates. “Indexing commercial real estate to population suggests that that 120 million square feet of new commercial construction may be needed in the next decade to support the growing population” continued Walter.

The last decade began with a surplus of commercial real estate and tepid construction.  Current availability is tight as vacancy rates are low.  “There is no surplus if inventory and facilities will have to be constructed to accommodate future population growth” according to Mr. Walter.  Their ’2020 Decade in Review’ publication also provides vacancy rate, lease rate, and other research for office, retail, industrial, and multifamily markets in Northern Utah, Southern Utah, and Southern Nevada.