The deal: Near jobs, but lots of neighbors

By Mike Trask (contact)

Tuesday, Sept. 9, 2008 | 2 a.m.

One of Henderson’s largest private employers has sold land adjacent to one of its big properties — the Fiesta Henderson — to a developer who wants to build apartments for casino employees who would then be able to walk to work.

But there’s a hitch: The builder wants permission to build 50 percent more units per acre than is allowed by zoning, in exchange for allowing the casino workers first dibs in signing up for apartments. Such a trade-off has no precedent in Henderson.

The developer, Trammell Crow, has made no offer to rent the apartments at less than market prices in exchange for the increased density.

On the other hand, the apartments would reduce traffic congestion and save the casino workers the expense of commuting to work, proponents say.

The Henderson Planning Commission rejected the proposal, which will go to the City Council for consideration.

The apartments would be built on a 10.5-acre parcel at Fiesta Henderson Drive and Lake Mead Parkway.

Station Casinos, which owns the Fiesta Henderson, is selling the land, which is across the street from the casino, to Trammell Crow.

The city Planning Commission has approved 24 units per acre on the site, rejecting the developer’s request that it be allowed to build 38 units per acre.

Planning commissioners said there was no proof Fiesta Henderson employees will have first rights to the apartments, as well as other incentives to live across the street from work.

Those incentives, the commission implied, would qualify the project as “workforce housing” and allow for increased density.

The item has not been placed on a City Council agenda.

The city has never entered an agreement that binds a housing proposal to a specific business, said Skeet Fitzgerald, the city’s neighborhood services director. Proving that the apartment complex — to be known as the Alexan Fiesta — caters to one company may be difficult.

Jeff Allen, managing director of Trammell Crow Residential Southwest, said such “workforce housing” would be especially desirable to people working in the area.

The Alexan apartments would also be within walking distance of Lake Mead Crossing, a new shopping center across Lake Mead Parkway from the casino in a city redevelopment area.

Allen said the purpose of workforce housing is not to offer subsidized or rent-controlled housing, but to provide housing near work for people who can’t afford to buy homes.

Rental rates for the apartments have not been set. Allen said it would be at least a year before the units were ready for living, after approval.

He estimated 1,000-square-foot apartments would rent for $1,200 a month.

At 38 units per acre there would be about 380 units at the complex in 14 buildings.

Lori Nelson, a spokeswoman for Station Casinos, said the company is not trying to get employees discounted rent, only first crack at the apartments.

“We’re just looking for an alternative for our employees,” Nelson said.

Fiesta Henderson has more than 800 employees.

Allen said the plan could be a model for future development. He said increased gas prices and an emphasis on green living could make apartments near workplaces more desirable.

“There was less of a demand as long there was land at a fair price where people could still commute,” he said. “Now with gas at $4 a gallon, to have that proximity to employment really does provide employees a way to save more of their take-home pay.”

More than 40 Fiesta employees appeared at the Planning Commission meeting in support of the proposal.