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 RESIDENTIAL2015 LAND MARKET RECAP

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Contributors: Dennis Bradley