Occupancy Increasing at Iron Horse Shopping Center, Demand Increasing For Commercial Real Estate in Reno and Sparks
Just a couple years ago, the Iron Horse Shopping Center in Sparks was struggling. However, since 2016, the retail center has given itself a complete makeover.
Just a couple years ago, the Iron Horse Shopping Center in Sparks was struggling.
However, since 2016, the retail center has given itself a complete makeover.
When Shopoff Realty Investments purchased the property back in 2016, it was only 33 percent occupied.
After millions of dollars worth of investments and additions like Firehouse Subs, Harbor Freight and Tractor Supply Company, the leasing rate for the center is now double at 66 percent.
"When we found this spot, it was kind of like bingo,” says Ashley Ann Trapp with the Tractor Supply Company.
Associates at Tractor Supply say Iron Horse is the perfect location for business. Trapp says the other tenants on the property can benefit from its customers, just as it can benefit from theirs.
“They'll say they're waiting for chickens or ducks to be ready to go home, so they'll go to Pizza Plus, they'll have lunch, they'll come back,” says Trapp.
This trend isn't happening just at Iron Horse, we're seeing this type of retail growth across the region.
“It tends to follow the rooftops, so when they're building out in Spanish Springs or building out in North Valleys then there will be more retail that follows those houses,” says Kevin Sigstad with RE/MAX.
Sigstad says his company manages four shopping centers in Reno. Other than one storefront, every space, at every center of his is occupied.
“There's a growth of service type businesses to replace what used to be the dress shops and the typical stores that you would see at shopping centers,” says Sigstad.
Sigstad credits the large demand in the commercial sector to the job growth happening across northern Nevada.
He says there's only a 6 percent vacancy in the retail market, typically that number is closer to 12 percent and it was even higher during the recession.
“It's been a gradual process rebuilding from where we were but certainly the last 18 months has been very active,” says Sigstad.
At Iron Horse, there will also be a Starbucks opening soon.
The owner of the land says they hope to also announce other new tenants in the near future.