Rents in Las Vegas Expected to Remain at High Levels for Time Being, Report Says

LAS VEGAS, NV – The high rents that many Las Vegas residents have been struggling with recently are expected to remain at their current levels for the time being, according to a new report.

The one-two punch combination of 40-year high levels of national inflation and increased interest rates brought about by the Federal Reserve’s several recent rate hikes – done in an attempt to curb inflation – have contributed greatly to the strain that’s hitting many Southern Nevada renter’s wallets, said Las Vegas economist Mike PeQueen.

“Rent is probably the single largest expense for anybody at this point,” he said. “While it’s a bad sign for the community, it’s not really unexpected because we’ve all watched with interest the last couple of years as residential real estate prices have increased. That is great for people that own homes. For people that rent residential units, it makes the price of living in residential units more expensive, and that over time does hurt a community.”

In addition to inflation and higher interest rates, the realities of supply and demand have also remained a constant factor; simply put, there are fewer apartments in Vegas than people who want to rent them, allowing some landlords and property managers to charge premium rates.

Also, the mid-2000’s recession saw a drastic reduction in the number of homes being built; that, coupled with another construction decrease during the COVID-19 pandemic, has resulted in a high degree of scarcity when it comes to residential homes. With that being the case, many prospective homebuyers are turning to rentals to tide them over, exacerbating the demand for them even more and correspondingly driving up rent even further.

Currently, the average rent for a 2-bedrrom apartment in Las Vegas runs $1,600 a month, with that number reaching as high as $1,800 in more affluent and in-demand places such as Henderson.

PeQueen notes, however, that rents will eventually drop down to more manageable levels once more apartments and houses are built in Southern Nevada and the national economy stabilizes; it will just take some time for that to happen, he said.

“Until we see lower interest rates, and a chance for developers to catch up with what’s in the pipeline of building already, we’re probably not going to see much relief on rents,” PeQueen said. “We have seen recently the rate of increase of rents in Southern Nevada has started to top out. So I don’t think they’re going to shoot up a lot from here, but we’re probably not going to see decreases in rent at this time.”

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – In what was perhaps a case of seller’s remorse, legendary professional basketball player, actor, and current sports analyst on TNT’s Inside the NBA Shaquille O’Neal has decided to pull his private 1-acre estate in the southeast Las Vegas valley from the open marketplace, a mere two weeks after he first listed it for sale and just one year after he originally purchased it.

Shaq originally closed on the 5,980 square-foot, two-story, five bedroom residence located east of Sunset Park for $1.95 million in July of 2021; according to Clark County records at the time, the buyer was Lester J. Knispel Trust and Chexy Trust, which has been previously utilized for Las Vegas real estate deals by O’Neal.

The retired champion basketballer had originally listed the blue stucco home for $3 million, but the news that his son Shareef had signed a six-figure deal to play for the NBA G League team Ignite – based out of neighboring Henderson – was most likely Shaq’s reasoning for deciding to keep his Las Vegas estate after all.

In addition, O’Neal has heavy business ties in the Southern Nevada region, including co-ownership of Big Chicken sandwich shop east of the Las Vegas Strip.

The estate features numerous high-end amenities, such as multiple seating areas, a fireplace, a formal dining room adorned with an oil painting of Shaq himself, and a first-floor master bedroom hidden behind a secret door. The entire house is filled with a wide variety of basketball-related memorabilia, including multiple trophies and framed photographs.

The backyard – with a private second-floor balcony overlooking it – boasts a brand-new swimming pool and hot tub, golf putting green, built-in barbecue, and poolside casita that can serve as a small guest house.

While O’Neal spends the majority of his time working in Atlanta, Georgia on TNT’s Inside the NBA, he reportedly does utilize the southeast valley residence as a regular abode when not working.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – The muscle-bound stars of “Australia’s Thunder from Down Under” – an Australian male revue who perform in Las Vegas and tour internationally – are set to star in a new HGTV/Discovery+ cable television series entitled “Flip the Strip,” where they go to various Vegas-based real estate properties to help renovate and/or build them in some manner.

The Nevada Film Office – part of the Governor Steve Sisolak’s Office of Economic Development – shared the content of the application for the series presented to them on August 4 by the producers of show, which states that “Australia’s Thunder From Down Under” has been a “fan favorite for visitors of Las Vegas for decades, and now they’re taking their talents to the construction site to show what they’re made of!”

Currently, it is unknown what sort of work the cast will be engaging in – or if any of them even have any construction experience at all – during each of the show’s proposed six hour-long episodes. However, during each episode – according to producers – camera crews will “follow the guys as they work to transform properties around the Las Vegas area.”

The show is slated to have a budget of $1.6 million, and as part of their application, its producers have asked the city of Las Vegas for approximately $206,000 in tax incentives. The show will be filmed in Las Vegas from September 2022 to January 2023, although no specific filming locations have been revealed as of yet.

“Flip the Strip” will be another in a series of reality TV shows that have been filmed in Las Vegas, including “Flip or Flop Vegas” and “Flipping Vegas.”

In 2001, “Australia’s Thunder from Down Under” officially moved into the Excalibur Hotel and Casino; in 2006, the 400-seat showroom was officially renamed “The Thunder from Down Under Showroom” in their honor, and currently holds 12 shows per week.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – The Greater Las Vegas Short-Term Rental Association (GLVSTRA) filed a lawsuit earlier this month against both Clark County and the state of Nevada on behalf of property owners looking to offer their homes for rent via services such as Airbnb and Vrbo, alleging that laws and ordinances passed to regulate the industry are “unconstitutional.”

While legal experts are expecting the GLVSTRA lawsuit to most likely be unsuccessful, the organization is nonetheless proceeding with their case, originally filed on August 2.

The main point of the lawsuit is that the 2021 passage of Assembly Bill 363 by the legislature allowing short-term rentals in the state – and subsequent required local ordinances governing the industry passed by Clark County when the bill went into effect in July – are violating the rights of property owners, according to GLVSTRA co-founder Jacqueline Flores.

“Clark County has the most restrictive STR ordinance in the nation,” she said. “The lawsuit we filed was our last alternative because state and local officials just went too far to the point where their regulations require these homeowners to give up some of their Nevada and U.S. Constitutional protections in order to be allowed to operate.”

“And the regulations include some of the highest fines and punishments, of up to $10,000 and jail time, for simply renting for less than 31 (consecutive) days,” Flores added, who claimed that approximately 80 percent of homeowners within Clark County would be unable to operate rentals under the current restrictive rules.

Currently, Clark County is setting up a lottery process to grant licenses to a limited number of prospective short-term renters within its jurisdiction; however, Flores insists that property owners should be allowed to rent their homes out whenever and however they want – especially in light of the current economic woes plaguing the country – unfettered by local regulations or limitations.

Flores also argues that a healthy rental market improves the local economy, as renters will need to hire maids, cleaning services, handymen, landscapers, plumbers, contractors, and other individuals and companies that assist in maintaining rental properties.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – Hollywood actor Mark Wahlberg, known for starring in a slew of blockbuster movies such as “Transformers,” “Boogie Nights,” and “Pain and Gain,” is currently snapping up real estate in Las Vegas, having just completed his second pricey and high-profile purchase in two months.

In July, Wahlberg had bought a 2.5 acre plot of residential land for $15.6 million in the Summerlin-based The Summit Club, a stylish, private neighborhood catering to affluent families and individuals. Wahlberg followed up with the purchase of a new 7,327 square-foot, two-story, four-bedroom townhome in the very same community earlier this month.

The Summit Club’s website describes itself as a “555-acre extraordinary sanctuary” that is nestled between Red Rock Canyon National Conservation Area and the Las Vegas Strip, located off Town Center Drive south of Flamingo Road. The website goes on to say “The Summit Club is the only private residential lifestyle club community in Las Vegas. Sit back and enjoy five-star amenities, a championship golf course, a robust outdoor pursuits program and unique terrain-to-table culinary offerings.”

The website also notes a plethora of wellness and recreation programs for residents, as well as snacks-laden golf course “comfort stations,” pickle ball and tennis courts that are adjacent to Wahlberg’s new residence.

According to Clark County property records, Wahlberg purchased the townhouse directly from the developers of The Summit Club; in response to media requests for further information, the developer merely said they do not comment on specific transactions in order to safeguard the “privacy of our owners and members.”

However, while the sale appears to have been private, reports indicate that the townhouse was not marketed via any regular listing sites, and The Summit Club’s map on its website merely shows a rendering of the residence and an indication that it has been “sold,” but no specific information on the property is given.

Previously, reports indicated that Wahlberg previously had also nearly purchased a pre-owned Summit Club residence for over $35 million in July, but then changed his mind and bought the vacant plot of land instead, followed by the new townhome purchase earlier this month. It is currently not known what the plans for the vacant plot of land are.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – The former home of legendary Las Vegas performers Siegfried & Roy is set to be demolished and replaced with an apartment complex, as voted upon by the City Council last Wednesday.

Las Vegas City Council voted 5-1 to build a 334-unit apartment complex on the 12 acres comprising the former estate – nicknamed “Little Bavaria” – of Siegfried Fischbacher and Roy Horn, located in the northwest Las Vegas Valley of Rancho Drive along Rainbow Boulevard. The estate has been unused since the deaths of the two extravagant performers; Horn, 75, passed away in 2020, followed by Fischbacher the following year at the age of 81.

German-American magicians and entertainers, Fischbacher and Horn gained great fame throughout the 1990’s and early 2000’s for their exciting shows at the Mirage Resort and Casino featuring magical illusions and appearances with white lions and white tigers. The duo retired following Horn’s career-ending injury on his birthday on October 3, 2003, when a white tiger used in their act named Mantacore attacked him.

Las Vegas Mayor Carolyn Goodman was the only member of the City Council to vote against demolishing Fischbacher and Horn’s estate, instead suggesting that it should be turned into a park honoring the duo, who were both known for their love and preservation of nature.

Several members of the public at the meeting supported Goodman’s stance as well, but the opposing five members of the City Council were unmoved, with Councilwoman Michele Fiore pointing out that such an undertaking would likely cost upwards of “$30 million,” making it economically unfeasible.

“Unfortunately, there is no reality of a 12-acre park there that we could make or purchase,” Fiore said. “As much as I want to sprinkle fairy dust, I cannot. It can’t be done.”

Fiore did suggest that the eventual apartment complex located upon their estate be named “Siegfried and Roy Place” in honor of Fischbacher and Horn, and that a garden be erected on the property. However, Calida Group – the developer of the upcoming apartment complex – said that naming the building after the entertainers would deviate from the existing naming conventions for their other Southern Nevada properties, but they were willing to work with the Las Vegas City Council to find another way to pay homage to their legacy.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – A swanky home located in Summerlin’s high-end The Ridges master-planned community was Las Vegas’ top-priced sale in July, fetching a cool $8 million. This goes a long way to proving that while the housing market in Southern Nevada is experiencing an overall slowdown – much like the rest of the country – its luxury homes can still generate some very impressive sales figures regardless.

The home in question is located on Promontory Ridge Drive in The Ridges and is situated upon 0.54 acres; originally built in 2005, the home comes in at 12,345 square feet with six bedrooms, 7.25 baths, and a four-car garage, and has recently undergone a complete remodel with higher-end finishes.

Also, the home boasts an indoor basketball court, a gym, putting green, game room and movie theater, and the backyard has a resort-style pool/spa and outdoor kitchen.

Overall, the luxury housing market in Las Vegas is in the midst of its slowest period since January 2021 – an issue that is affecting the majority of the housing industry nationwide amid skyrocketing inflation, mortgage interest rates, and overall economic woes – but it still managed to net 105 closings on homes with values of $1 million or more in July.

Nonetheless, this number still represents a significant decrease from the 155 luxury closings in June, and the 167 luxury closings year-over-year. However, July’s figures certainly eclipse January 2021’s luxury sales figures, when just 86 luxury homes were closed on.

In addition, these are still 157 sales of homes valued at $1 million or higher currently pending – just 10 fewer then June – which experts say cements the fact that while Las Vegas luxury real estate has indeed taken a hit from the nation’s current economic turmoil, the $1 million or higher marketplace is still proving to be an overall significant money-maker.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – Due to a law that just recently came into effect making short-term rentals legal throughout state of Nevada, the Las Vegas City Council voted last Wednesday to adopt changes to their own already-existing rules governing the industry in their jurisdiction in order to properly conform to the new statewide guidelines.

Renting homes via services such as Airbnb and Vrbo have been legal and regulated in Las Vegas, North Las Vegas and Henderson for the past ten years. However, they have only recently been legalized throughout Nevada as a whole due to Assembly Bill 363 – originally passed by the state legislature in 2021 – that was signed into law by Nevada Governor Steve Sisolak in June.

With the law legalizing short-term rentals statewide now officially in-force as of July 1, it was necessary for the Las Vegas City Council to essentially “clean-up” their current rule set to match the state’s additional new rules.

These changes include a mandate that current short-term rentals have a 2,500-foot buffer from businesses with non-restricted gaming licenses; a ban on rentals located within apartment buildings; a minimum duration for overnight stays being established for rentals; and a maximum cap on the number of occupants at any given rental.

This goes along with Las Vegas’ current rules, such as 660-foot distance from other rental homes, a maximum of three bedrooms, and a limit on the number of overall license applicants.

Currently, Las Vegas has almost 200 short-term rental properties; renters who were in business prior to the new state guidelines regarding distance from businesses will be grandfathered in and not be required to move.

Violation of the rules adopted last Wednesday by the Las Vegas City Council from the newly-established state guidelines carry fines anywhere from $500 and $1,000 to as high as $10,000, depending on the type and severity of the transgression. The new rules are officially in-force as of this week.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – Blackstone Inc., a private equity firm based in New York City, confirmed in an earnings report released last Thursday that their sale of The Cosmopolitan of Las Vegas for $5.65 billion – originally announced in September 2021 – was their “most profitable single asset sale ever” in terms of the company’s real estate dealings.

Blackstone had entered into an agreement with MGM Resorts International in 2021 to sell operations of The Cosmopolitan – located on the Las Vegas Strip – for $1.625 billion. In addition, the hotel and casino’s real estate assets were purchased by the Cherng Family Trust, set up by the owners of the fast-food chain Panda Express, for over $4 billion.

As per the deal, MGM Resorts International will run the daily operations of the venue for the next 30 years, with three options to renew their lease once it expires for an additional 10 years each time. MGM will pay the Cherng Family Trust a yearly rent of $200 million, with a yearly increase of two percent for the first 15 years of their lease.

Due to an exemption allowed under a 2007 state law that spares companies from paying tax when property owners transfer real estate to a subsidiary, the Blackstone deal produced no funds in the form of real estate transfer taxes for the city of Las Vegas. This law is essentially a legal loophole that several high-priced resort sales have taken advantage of in recent years, and is an issue that Nevada Governor Steve Sisolak is urging state legislators to address in their next session.

The Cosmopolitan originally opened its doors for business in 2010, and was later sold by owner Deutsche Bank AG to Blackstone in 2014 for $1.73 billion. The firm then put a whopping $500 million into renovating the resort, which features 3,027 rooms, a 110,000 square-foot casino, 300,000 square-feet of retail and restaurant space, a spa and fitness facility, a 3,200-seat theater, and 150,000 square-feet of meeting and convention space.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – A new Las Vegas Valley apartment complex finally held its ribbon-cutting ceremony last week after previously burning down while in the middle of its construction phase a year-and-a-half ago, necessitating its developer to essentially begin the project once again from scratch.

Ely at Fort Apache originally caught fire just before midnight January 18, 2021, and quickly engulfed in flames that required the combined efforts of almost 100 firefighters from different departments throughout the valley; when all was said and done, the project laid in ruins and worked needed to begin anew.

But begin again is just what developer The Calida Group did, and last Tuesday they celebrated the long road back when they cut the ribbon on the 206-unit complex near Tropicana Avenue and the 215 Beltway. Finishing touches are bring put upon the building, and the first tenants are expected to begin moving in near the end of August.

The Calida Group confirmed that there were no injuries or deaths associated with the fire. After conducting an investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives officially announced on January 27, 2021 that the blaze destroyed the first attempt at bringing Ely at Fort Apache to reality was an act of arson, causing approximately $35 million in damage and losses for the developer.

It is not currently known where on the construction sire the fire started; Clark County Deputy Fire Chief Warren Whitney has confirmed that a suspect “has been identified but there is not enough evidence at this time to support an arrest warrant. The case is still open and under investigation.”

The newly-reborn Ely at Fort Apache boasts numerous luxury amenities for its tenants, including a 5,900 square foot clubhouse featuring a hospitality bar with Wi-Fi, game room, and full cardio and strength facility; concierge services to cater to personalized member needs; an outdoor kitchen equipped with BBQ grills, a kegerator and under counter refrigerator space; an outdoor ping pong table or in the game room; and close access to dining, shopping, entertainment, golf, and parks.

For more information on Ely at Fort Apache in Las Vegas, contact Elysian Living LLC at (844) 407-2903 or visit https://www.elysianliving.com/property/ely-at-fort-apache

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – Due to rising interest rates on home loans marking the end of cheap borrowed money – combined with national inflation currently at a 40-year high – home prices in Las Vegas have actually dropped for the second consecutive month in a row after over a year of consistent, record-setting monthly gains, leading experts to remark that the market in Southern Nevada is “definitely turning.”

In July, the median sales price of previously owned single-family homes was $465,000, representing a drop of 3.1 percent – amounting to $15,000 in value – from June, at which time the median sales price was $480,000, down from $482,000 in May.

However, home prices in July remained 14.8 percent higher year-over-year, which amounts to a $60,000 increase overall. The reality of the last two months can’t be denied, as June’s price drop was the first time home values in Southern Nevada have decreased at all in over two years, and July only served to reinforce that trend.

It remains to be seen if the same occurrence happens in August and prices dip yet again, but the current market is seeing home inventory in the region – previously scarce – steadily rising now as buyers pull back to see what happens next. But buyers still looking to acquire a home in Vegas are now finding themselves with lowered prices and a degree of bargaining power they could only dream of just a few months ago, according to Las Vegas Realtors (LVR) President Brandon Roberts.

“We’re definitely seeing a shift in the housing market. We haven’t seen prices slow down like this in several years,” he said. “This is encouraging news for people looking to buy a home, although rising interest rates and today’s prices still present challenges for many potential buyers.”

2,066 single-family homes sold in Las Vegas in July, a decrease of 22.6 percent from the prior month and 38.4 percent year-over-year. 7,331 were available on the market without offers when July ended, an increase of 27.6 percent from the month before and 143.8 percent from July 2021.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

LAS VEGAS, NV – The market for high-rise condominiums in Las Vegas has finally begun to slow after enjoying a period of red-hot activity, reflecting the rest of the cooling real estate scene in Southern Nevada due to rampant national inflation and rising mortgage rates.

While many are anticipating some degree of improvement with the announcement earlier this week that mortgage interest rates have dropped below 5 percent for the first time in months, experts note that the scorching hot Vegas summer is also playing a factor in lower high-rise sales, with fewer people willing to brave the heat at the moment to house-hunt.

According to the Las Vegas Realtors’ Association Multiple Listing Service, 644 high-rise condominiums of five stories and above were closed on through the first six months of 2022, which represents a 2.5 percent increase over the 628 closings in the same period of time in 2021. However, the 87 closings that were recorded in June fall short of the closings achieved year-over-year, with 129 closings taking place in June of 2021.

Since the high-rise condominium sales initially slowed due to the onset of COVID-19 – which can be attributed to buyers wanting more space for the sake of health – the market in Las Vegas became extremely popular as the pandemic began to wane and restrictions aimed at curbing the spread of the virus were dropped.

According to experts who examined 21 high-rises – most located along the famed Las Vegas Strip – there were 618 closings between January and June 2022, which represented a 14.2 percent jump over the same period of time in 2021, when there were 541 closings. This contrasts with the mere 225 closed upon in the first half of 2020, and the 204 in the first half of 2019.

The average sale price of high-rises sold in Vegas in 2022 was $595,508, with a square-foot price of $486.

While the market for high-rise condominiums is indeed showing some degree of cooling with the economic uncertainty in the country, experts are nonetheless predicting the market will remain to perform well, and with the possibility that mortgage rates may be sliding downward slightly, may begin to pick up once again in the very near future.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.