1. As the prices of homes
continues to escalate
in the Reno/Sparks
area, demand will
move east and south.
2016 LAND FORECAST
333 Holcomb Ave., Ste. 300 | Reno, Nevada 89502 | 775.850.3100 | DicksonCG.com
South Reno/Damonte Ranch will be virtually built out within the next two years as the remaining land and lots are already owned or have
been acquired by the majors (D R Horton, Lennar, and Toll Brothers), leaving only infill opportunities. More multifamily and retail will locate
in this highly desirable area.
Throughout the Sparks/Spanish Springs area, finished lots are all but gone. If they can be found, they are approaching $100k a lot. Most of
the final mapped lots will vanish at some point in 2016, leaving TTM’s and raw land as the only opportunities.
In North Valleys, with costs to complete at $50,000-$60,000 to bring finished lots close to $100,000 home prices will be pushed up to $400,000.
The big question is “Who has the resources to finish these lots as builders would rather not?” Cost of water will be the main issue in the
coming year especially when TMWA’s $7,500 per acre foot water rights are all allocated. New ones from Vidler will start in the $25,000 plus
range with rumors have the price up $40,000 per acre foot.
As the prices of homes continue to escalate in the Reno/Sparks area, demand will move east and south.
Fernley will see their finished lot inventory be acquired with new building permits being applied for. Water is not an issue
although the lower fees grandfathered years ago will expire. Still home prices will range from $100,000 to $150,000 less than
Reno making it very attractive to the lower income, commuter market.
Silver Springs and Stage Coach will see increased activity mostly in the land speculation area due to the coming extension of
USA Parkway connecting to Highway 50.
Dayton will see even more new home sales as Lennar has been acquiring more finished lots. Their product will be approaching
the $350,000 price point.
Carson City will see strong growth as Lennar completes the infrastructure and off sites for Schultz Ranch with the first of its 420
+/- finished lots receiving building permits. Single and multifamily zoned raw land is selling for $200,000 and $300,000 per acre.
Several organizations, such as EDAWN, EPIC, UNR, etc., have predicted the demand for up to 50,000 new homes over the
next ten years. If half that amount, or 2,500 homes per year, happens, the demand for those homes will be absorbed in 2016
provided there are enough finished lots available.
HIGHWAY 50 CORRIDOR FROM FERNLEY TO CARSON CITY
2016 FORECAST
RENO/SPARKS RESIDENTIAL
2015 LAND MARKET RECAP
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Contributors: Dennis Bradley