Tech park near saturation point

Diana Sahagun

Wednesday, Dec. 12, 2001 | 9:39 a.m.

The opening this week of an office complex puts in place one of the final pieces of a northwest tech park, a financial venture that has resulted in nearly $30 million in net revenue for the city over the past 20 years.

Las Vegas officials on Thursday will announce the opening of Crimson Canyon, a 38,000-square-foot office complex that is home to Swisher & Hall Architects but also will be leased to other tenants. The 2-acre parcel near Tenaya Way and Smoke Ranch Road is one of the last parcels to be sold in the Las Vegas Tech Park bounded by U.S. 95, Cheyenne Avenue, Smoke Ranch and Tenaya.

The firm bought the parcel from the city for $696,900 and constructed a $2.5 million, two-story office building, said Lesa Coder, the city's business development director.

Looking for ways to stimulate the economy in the fastest growing area of Las Vegas, the city purchased 262 acres from the Bureau of Land Management in 1985 for $5.4 million, Coder said. The city spent an additional $5.2 million in infrastructure costs, and then put the parcels up for sale.

Over the years the city has sold chunks of the property to tech-based businesses, including Sierra Health Services, Mountain View Hospital and Westwood Studios. Rounding out the development are several credit unions, medical offices, a restaurant, a hotel, a city park and a post office.

To date, the city has sold off all but 2 acres of the park, resulting in a total profit of $27.3 million, not including taxes generated each year from the projects, Coder said. The park has also generated 5,100 jobs, she said.

Although most of the parcels were purchased by developers in 20-acre chunks, the biggest transaction was the swapping of 97 acres of tech park land in exchange for 61 acres of prime real estate downtown owned by Lehman Brothers Holding, Inc.

The city is in the midst of negotiations with Southwest Sports Group, which has proposed the 61-acre parcel as the home of an academic medical center, performing arts center, high-density residential, or a minor-league baseball stadium.

The city owns two additional tech parks -- including a 120-acre park near Mojave Road and Charleston Boulevard -- that have been sold to private developers. The city's Enterprise Park, near Lake Mead and Martin Luther King boulevards, is 75 acres, with a remaining 25 to 30 acres left to be sold, Coder said.

By the city owning land, it has more leverage and can offer incentives to businesses looking to develop in the city, Coder said. In some ways, the city can speed up the process of purchasing land, while transactions with private developers may be more lengthy.