To a warehouse developer

Station Casinos sells 90 acres in Reno for $32.6M in strategy to monetize excess land

2021-12-02
United States
Reading time 1:57 min

Vegas-based Station Casinos has sold nearly 90 acres in Reno, Nevada, to a warehouse developer. The sale corresponds to a focus from the gaming and hospitality company on selling excess land.

Panattoni Development Co. partner Doug Roberts, who oversees its projects in Nevada, confirmed in a statement on Wednesday that the firm purchased about 88.7 acres of land at the southwest corner of Mount Rose Highway and South Virginia Street in south Reno, reports Las Vegas Review-Journal.

While project planning is still underway, it is believed it could include a mix of industrial, multi-family, office, hospitality and retail development. Construction is not expected to start until the first quarter of next year, according to Roberts.

Panattoni’s acquisition of the land was done for $32.6 million, according to an announcement by brokerage Colliers International, announced earlier this week. Colliers said it represented the buyer, while the news release did not name the seller, although Washoe County property records and Nevada business entity filings indicate it was Station, says Review-Journal.

Additionally, the casino company has also stated in securities filings that it owns around 89 acres at the intersection of Mount Rose Highway and South Virginia Street in Reno. The tract is described as “land held for sale,” while Reno city records indicate a 900-room hotel-casino was approved for the site in late 2006, but the permits have since expired.

Station Casinos is the owner of big tracts of real estate scattered around the region, which act in storage for future resort projects. The company’s holdings include 71 acres at Durango Drive and the 215 Beltway in the southwest valley. The company plans to break ground on a $750 million resort there in Q1 2022, which will take 18 to 24 months to complete.

Security filings further reveal Station is the owner of about 315 acres of land held for development in the valley, plus another 57 acres several miles south of the Strip, which are being held for sale.

In a call with investors last month, Station Casinos CEO Frank Fertitta announced the sale of 23 excess acres for the development of multifamily residences at Durango, a strategy Fertitta said could be replicated at other venues.

“We’ll continue to look at each of the development sites in Vegas as we roll forward, try to build out the portfolio, double the footprint here in Las Vegas,” said Frank Fertitta, Station Casinos CEO. “We’ll take the heart of each of the properties and sell off the remaining real estate surrounding those development sites.”

Station Casinos’ planned resort at Durango Drive will cover 533,000 square feet, with 73,000 square feet of casino space for 2,000 slot machines and 46 table games. The venue will have 200 hotel rooms and suites, plus 21,000 square feet of convention and meeting space, as well as four full-service food and beverage outlets. A state-of-the-art sportsbook and resort-style pool will also be among the amenities.

Leave your comment:
Subscribe to our newsletter
Enter your email to receive the latest news
EVENTS CALENDAR