The Unire Real Estate Group is a regional power in California and has built a foothold in Las Vegas. It manages more than 35 million square feet of industrial and office property across its footprint. Its portfolio includes 207 buildings with 527 tenants.
In Las Vegas, it manages about 3 million square feet in two projects.
Mark Harryman is founder and principal of Unire. He has more than 30 years of commercial real estate experience and has held positions with California Structures, Watson Land Co. and The Irvine Co.
Today he talks with 5Q about where Las Vegas fits in the company’s future.
Q. Tell us a bit about your local properties.
A. We have two great industrial assignments in Las Vegas. One is a Class A warehouse and distribution park called, Golden Triangle, located in North Las Vegas. Since taking over management approximately four years ago, we have spent a considerable amount of effort positioning the property as a best in class, Class A industrial park. This project is now almost fully occupied and is one of the premier parks in the market for large warehouse users. We are also discussing additional portfolios totaling over 1 million square feet of industrial and office within the market.
Q. Your company is active in some of the highest profile, highest priced markets in America. What makes Las Vegas an attractive territory?
A. The Las Vegas market is very active right now. Vacancy continues to decrease as demand increases, with very little new industrial warehouse product on the horizon. Our clients are seeking best-in-class service providers to assist them in managing their assets and maximizing their returns. Astute owners are paying closer attention to their tenant’s needs and interests. Our experience, strategic planning, and execution allows us to manage these assets at the highest level with proven results. We see a tremendous opportunity to increase our presence within the Las Vegas market.
Q. Suburban office space seems to be a specialty of Unire. Does Las Vegas, with its significant vacancy rate, present an opportunity or a warning sign?
A. Our clients see a tremendous value-add opportunity as the market continues to improve. We feel the next few years will be the time for our clients to see significant occupancy growth as the market improves. We in turn are optimistic about growing our footprint within the Las Vegas market. As the market continues to see improvement, it is important to pay attention to the details for each individual asset. New and existing tenants need to feel valued and proud of their work environment. We always take an ownership perspective when managing our assets.
Q. Same song, different verse. The industrial sector is hot here. Opportunity or too late to invest further?
A. Occupancy is currently hitting levels that demands new inventory. Rates are being pushed higher, which is a great sign of the market being very healthy. The truth is, there are not a lot of options for tenants who are seeking larger space requirements. The industrial sector will continue to be very healthy with the limited supply of space available on the market, and as such there are still opportunities for investment.
Q. Among your tenants are many of the biggest names in American business. Are they pushing you toward Las Vegas or are you pulling them in this direction?
A. Our growth as an asset services provider has always been organic, and Las Vegas is no different. Our footprint is growing with both new and existing clients who are seeking a better class of services. The Las Vegas market holds great interest to many of our clients who feel the Southern California market has become overpriced. Along with growing our presence in Las Vegas, we are also looking to plant a larger flag in Northern California. We see our portfolio continuing to grow across a number of markets in the West this year.