Highlights From Inside · located at 6830 W. Oquendo Rd., Ste. 100, Las Vegas, NV with a value of $796,500.00. Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial

LEGISLATIVE UPDATEAffordable Housing vsThe Zoning CodePage 4

Highlights From InsidePRESIDENT’S MESSAGE“I'm reflective only in the sense that I learn to move forward. I reflect with a purpose.” – Kobe BryantPage 3

LEGAL BRIEFSDangers of the Double Escrow – Part 1 Page 5

DEALMAKERS!Pages 8 & 9

OUR PROFESSIONALS MAKE THE DIFFERENCE

“The

Com

merc

ial R

eal E

state

Voice

For S

outh

ern N

evad

a”MAY / JUNE 2020 EDITION

2 Southern NevadaCCIM Chapter

2020 Southern NevadaCCIM ChapterBoard of Directors

Chapter AddressSouthern Nevada CCIMP.O. Box 97653Las Vegas, NV 89193-7653www.snccim.org

Management CompanyAlternative Management1880 E. Warm Springs Rd., Ste. 100Las Vegas, NV 89119Phone: (702) 798-5156Fax: (702) 798-8653Katrina [email protected]

CCIM Institute430 N. Michigan Ave., Ste. 800Chicago, IL 60611Phone: (312) 321-4460Fax: (312) 321-4530www.ccim.com

OFFICERS:

Ryan Martin, CCIM, SIOR President SponsorshipAdam, Gregory, CCIM President-Elect Designation PromotionSalina Ramirez, CCIM Secretary/Treasurer Community Outreach LiaisonJennifer Ott, CCIM Immediate Past President Legislative Affairs

DIRECTORS 2019-2020:

Jeff Chain, CCIM Wine TastingRobin Civish, CCIM Candidate Guidance Communication/MarketingPhillip Dunning, CCIM NewsletterBobbi Miracle, CCIM, SIOR, CIPS EducationJoshlyn Steele, CCIM Community Outreach

DIRECTORS 2020-2021:

Andy Crawford, CCIM University OutreachJakke Farley, CCIM ProgramsRoy Fritz, CCIM MembershipAmelia Henry, CCIM ScholarshipMeaghan E. Levy, CCIM, CPM Social/Networking

2020 UNELECTED CHAIRS:

Sunshine Bono, CCIM, CPM Education Co-ChairPaul Chaffee, CCIM University Outreach Co-ChairAngelina Scarcelli, CCIM, CPM Wine Tasting Co-Chair

Contact Us

Southern Nevada CCIM ChapterMission Statement

“Position the Chapter as the premier commercial real estate organization for Southern Nevada by enhancing the value of the CCIM designation and increasing the number of desig-nees and candidates through professionalism and educa-tional excellence.”

The CCIM Perspective is a bimonthly publication, (excluding November), of the Southern Nevada CCIM Chapter.

To submit an article, please contact Eric Tischler, Editor at [email protected] or 702-688-3056.

The CCIM Perspective may contain controversial or unsub-stantiated information by the authors. The contents herein are not necessarily the views of the Southern Nevada CCIM Chap-ter. The Southern Nevada CCIM Chapter cannot be held responsible for opinions, views or facts expressed.

About The CCIM Perspective

President’s Message“I'm reflective only in the sense that I learn tomove forward. I reflect with a purpose.” – Kobe BryantWell, the turn of the decade has been more than unpre-dictable. We are just about halfway through 2020 and if COVID-19, police reform, the Tokyo Olympics, virtual graduation ceremonies, the U.S. presidential election and a presidential impeachment aren’t enough, Facebook Libra will launch, Brexit finally happens, a Prince steps down and NASA’s Mars exploration takes off. Those are just some of the iconic moments produced for the record books of 2020.

With the Fourth of July, our country commemorates the Declaration of Independence of the United States of America. Our history books are rich with stories, records and monumental achievements as Americans.

We are special in our own way and we leave our mark in a good way as we go through this journey. As we are only halfway through the year, ask what are you doing specifi-cally to be intentional about your business, your new lifestyle and new social awareness. Many of us set out with grand goals at the beginning of the pandemic. I know I set a few.

Were you able to take full advantage of the time to regroup, reposition and/or reevaluate your 2020 goals?

Did they need to be changed as a result of the first half of the year? Did you take time to reflect with the purpose of moving forward? How will you leave your mark on 2020, and the many successful years to come?

As we embark on the second half of 2020, things will continue to be different than they were at the beginning of the year. The continued diligence and adhering to all safety measures shown by our members, candidates and designees is truly appreciated. The continued diligence in following all the safety measures that we’ve been hearing about for months are as vital today as they were in early March.

There are many conversations depending on who you are listening to. People talk about Las Vegas as it relates to the new normal and what that looks like. I’m not sure if Vegas was ever the gold standard for normal, but I am sure excited to see how it once again reinvents itself. With the NFL season fast approaching, we’re all eager to hear how things will come back together. As we all anxiously await the Governor’s Phasing guidelines and updates, I encourage you all to stay safe, be kind, continue to thank your neighbor and look forward to seeing everyone very soon.

3PERSPECTIVEMARCH / APRIL 2020 EDITION

By Ryan Martin, CCIM, SIOR2020 Southern NevadaCCIM Chapter President


Legislative UpdateAffordable Housing vs The Zoning Code

Commercial endeavors are inevitably tied to Housing. Affordable housing has been and continues to be a major topic of discus-sion within the Las Vegas Valley by elected officials and residents. There are many factors to consider for the cost of housing. Homebuilders have a rule of “Eight L’s” when they look at the cost of building homes:

● Land ● Labor ● Lumber ● Laws ● Licensing ● Litigation ● Lending ● Laterals (general infrastructure costs)

The list above drives the ultimate home price. Included in the cost of Land and Licensing you find the cost of Regulations. Recent research from Up for Growth indicates that Regulations make up more than 30 percent of development costs. In South-ern Nevada, regulations by each governmental jurisdiction add costs to each housing unit anywhere from a few dollars to

thousands. Homebuilders consider jurisdictional regulations and their costs when considering where to build homes in the Las Vegas Valley. Some regulations builders consider include individual applications for waivers/variances for each lot of a subdivision versus blanket subdivision waivers/variances; design restrictions for setbacks (side loaded garages, porches and other encroachments), minimum lot sizes and maximum densities. All of these items create barriers to Affordable Housing by driving up the cost.

The cost of land and the added costs of improving the land to build the homes using the current zoning codes creates a regula-tory environment that makes building affordable housing a difficult feat. In Southern Nevada, the use of traditional Euclidian zoning codes and land-use plans drive separation of uses that provide for decreasing densities and increasing setbacks and lot areas by locations. This creates the need for additional regula-tions and maintains rigid design criteria which, in turn, trigger added cost. Some of the most detrimental criteria to cost are the minimum lot sizes, overly restrictive façade design standards, density restrictions and large lot line setbacks.

CONT’D ON PAGE 11

By Doug Rankin, AICPG.C. Garcia, Inc.

Doug Rankin is the Planning Manager of G.C. Garcia, Inc. a Nevada land planning and development services firm. He can be reached at [email protected].

By Scott A. Marquis, Esq.Marquis Aurbach Coffing

Scott A. Marquis is a shareholder with of the law firm, Marquis Aurbach Coffing. He is recognized on the Mountain States Super Lawyers list, and has an AV Rating from Martindale-Hubbell. Scott can be reached at (702) 382-0711 or by visiting the firm’s website at www.maclaw.com.

Legal BriefsDangers of the Double Escrow – Part 1

Not too long ago, a potential client asked about drafting form agreements specifically designed to improve the odds at double escrowing property. The potential client was intent on purchasing real property, and either assign-ing the purchase rights, or selling the property outright to third parties with or without the other party’s knowledge. In response, I explained my definition of a “double escrow” (also known as “simultaneous closing”) to ensure we were on the same page:

The potential client said “exactly.” Due to the small invest-ment necessary to perform a double escrow, these trans-

actions are a favorite of many “educational programs” that promise their students will “get rich quick” investing in real estate, and this potential client might have been following this path. Thus, whether or not a licensee can engage in such transactions and what disclosures must be made and to whom must be part of the analysis.

There is nothing inherently wrong with arranging a double escrow, simultaneous closing or assignment of a purchase agreement (all of which have nearly the same results). Nevertheless, the transactions have a bad repu-tation because neither the original seller nor the final buyer are pleased that they could have sold at a higher price, or purchased at a lower price, and that they lost thousands to some investor who may never have intended to buy the property in the first place. Moreover, transactions discussed in the news, case law or social media often involve unscrupulous real estate brokers or licensees, who misuse information gained in their

CONT’D ON PAGE 10

a situation in which a buyer, while under contract to purchase property, enters into a subsequent agreement to either (1) assign his contract to purchase that same property to a third-party purchaser, or (2) sells the property to the third-party purchaser, while arranging for both escrow closings to occur simultaneously. In this way, the buyer can potentially earn a profit by finding another party who is willing to pay more for the property, yet avoid the risks of investing the money needed to purchase the property.

5PERSPECTIVEMAY / JUNE 2020 EDITION



Liz Clare, CCIM of Avison Young represented Canyon Lakes, LLC in a lease of a 3,200 square foot retail property located at 9040 W. Sahara Ave., Las Vegas, NV with a value of $2,700,000.00.

Pete Janemark, CCIM of Sun Commercial Real Estate, Inc. represented the landlord in a lease of a 20,394 square foot office prop-erty located at 2795 E. Desert Inn Rd., Stes. 100 & 200, Las Vegas, NV with a value of $1,286,341.00.

Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial Executives Real Estate Services represented the landlord in a lease expansion of a 4,166 square foot office property located at 6830 W. Oquendo Rd., Ste. 100, Las Vegas, NV with a value of $796,500.00.

Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial Executives Real Estate Services represented the landlord in a lease renewal of a 6,886 square foot office property located at 6830 W. Oquendo Rd., Ste. 102, Las Vegas, NV with a value of $771,570.00.

Chris Lane, CCIM, SIOR of Colliers International, repre-sented Matter Real Estate Group in a lease of a 50,670 square foot industrial property located at 4208 W. Cheyenne Ave., Las Vegas, NV with a value of $4,195,476.00.

Chris Lane, CCIM, SIOR of Colliers International, repre-sented Prologis NA3 NV II in a lease of a 102,016 square foot industrial property located at 2970 N. Lamb Blvd., Stes. 111-115, Las Vegas, NV with a value of $3,314,695.00.

Eric Larkin, CCIM, SIOR of NAI Vegas, represented All American Convention Services in a lease renewal of a 75,000 square foot industrial property located at 3125 Marco St., Las Vegas, NV with a value of $4,096,000.00.

Eric Larkin, CCIM, SIOR of NAI Vegas, represented Imatrex Medi-cal Solutions in a sublease of an 18,290 square foot office property located at 2500 N. Buffalo Dr., Las Vegas, NV with a value of $1,371,000.00.

Eric Larkin, CCIM, SIOR of NAI Vegas, represented Southern Enterprises in a sublease of a 66,000 square foot industrial prop-erty located at 4025 E. Cheyenne Ave., Las Vegas, NV with a value of $500,000.00.

Chris Richardson, CCIM of Logic Commercial represented Hash House A Go Go in a lease a 6,000 square foot retail property located at 10810 W. Charleston Blvd., Las Vegas, NV with a value of $2,383,200.00.

Chris Richardson, CCIM of Logic Commercial represented JouleFit, LLC in a lease a 2,900 square foot retail property located at the NWC of St. Rose Pkwy. & Amigo St., Henderson, NV with a value of $1,186,680.00.

Chris Richardson, CCIM of Logic Commercial represented 3900 Paradise Retail Owner SPE, LLC in a lease a 3,430 square foot retail property located at 3900 Paradise Rd., Ste. M, Las Vegas, NV with a value of $655,572.00.

CONT’D ON PAGE 9

LEASES:

Chris Lane, CCIM, SIOR

Jarrad Katz, CCIM, SIOR

Eric Larkin, CCIM, SIOR

Liz Clare, CCIM

Pete Janemark, CCIM

Cathy Jones, CPA, SIOR, CCIM

Soozi Jones Walker, CCIM, SIOR


Southern Nevada CCIM Dealmakers

*Publications are limited to designees who are Chapter and Institute members in good standing. Announce-ments are for publication in The Perspective, but sub-missions may also appear on the website. All parties are aware that space is limited and are accepted at a mini-mum value of $500,000.00 and published by largest dollar volume within each submission section. Please contact Eric Tischler, Perspective Editor for the submis-sion form at [email protected].

Ryan Martin, CCIM, SIOR

Southern Nevada CCIM Dealmakers Cont’d

Devin Lee, CCIM

SALES:

Marc Magliarditi, CCIM

Bobbi Miracle, CCIM, SIOR

Hayim Mizrachi, CCIM

Chris Richardson, CCIM

Liz Clare, CCIM of Avison Young represented North Vegas, LLC in a sale of a 97,576 square foot retail property located at 2671 Las Vegas Blvd., North Las Vegas, NV with a value of $5,000,000.00.

Cathy Jones, CPA, SIOR, CCIM of Sun Commercial Real Estate, Inc. represented the buyer in a sale of a 2,301 square foot owner/user office property located at 3950 E. Patrick Ln., Las Vegas, NV with a value of $525,000.00.

Jarrad Katz, CCIM, SIOR of MDL Group represented Investpro Manager in a sale of a 42,040 square foot office/retail property located at 3601 W. Sahara Ave., Las Vegas, NV with a value of $2,300,000.00.

Chris Lane, CCIM, SIOR of Colliers International, repre-sented PDC Reno/LV/PHX LPIV, LLC in a sale of a 38.84 industrial acres located at APN#: 191-03-301-006 with a value of $25,627,500.00.

Devin Lee, CCIM of Northcap Commercial, represented Pair-A-Dice Estates, LLC in a sale of a 137-space mobile home park located at 2067 N. Las Vegas Blvd., North Las Vegas, NV with a value of $5,450,000.00.

Ryan Martin, SIOR, CCIM and Hayim Mizrachi, CCIM of MDL Group represented the buyer, Southwest Gas, in a sale of a 55,544 square foot office property located at 8560 S. Durango Dr., Las Vegas, NV with a value of $11,999,999.00.

Marc Magliarditi, CCIM of Logic Commercial represented the buyer in a sale a 7,569 square foot medical office property located at 8871 W. Sahara Ave., Las Vegas, NV with a value of $2,600,000.00.

Chris Richardson, CCIM of Logic Commercial represented the buyer, Zippy’s, in a sale a 33,500 square foot retail property located at 4590, 4570, 4520 & 4510 Hualapai Wy., Las Vegas, NV with a value of $7,450,000.00.

Chris Richardson, CCIM of Logic Commercial represented the buyer, Ovation, in a sale of 10 acres of vacant land located at Alper Center Dr. and Sunridge Heights Pkwy., Henderson, NV with a value of $5,000,000.00.

Chris Richardson, CCIM of Logic Commercial represented the buyer, Ovation, in a sale of 4.6 acres of vacant land located at Tropicana Ave. and Grand Canyon Dr., Las Vegas, NV with a value of $3,468,000.00.


Legal BriefsDangers of the Double Escrow – Part 1Continued from Page 5fiduciary capacity to buy low from one client and sell high to another. In fact, our Nevada Supreme Court has even defined the term “double escrow” as transactions involv-ing such unscrupulous licensees:

In the Alley case, the lower court affirmed the Nevada Real Estate Division’s decision to permanently revoke the broker’s license for secretly receiving part of a $2,000 profit by using a “double escrow scheme.” The Nevada Supreme Court affirmed the decision focusing on a prior case where the court denounced such schemes due to the failure to make full disclosures to the principal and the third party. Specifically, the Court in the Alley case upheld the revocation of the broker’s license because:

Obviously, such conduct is not legal, and we all know that licensees are prohibited from engaging in similar fraudu-lent conduct like that discussed above. However, if a licensee told the truth, made the required disclosures, acted as a principal, and funneled all of their profits through their broker, would their conduct still consti-tute a violation of NRS Chapter 645? Interestingly, my friend, Steve Kitnick (www.NevadaCE.com) informed me of two cases recently decided by the Nevada Real Estate Commission that might provide an answer. Although viola-tions were found in those cases, they offered a lot of insight into the way NRED and NREC view such transac-tions. In part 2 of “Dangers of the Double Escrow,” I will describe what occurred in those cases and provide some analysis to help answer the question.

In a “double escrow,” the broker or salesman purchases a principal’s property in the first escrow, and sells it to a third party at a profit in a second escrow without a full disclosure to both the principal and the third party. The escrows close at the same time and the broker or salesman thereby uses the proceeds from the sale in the second escrow to purchase his principal’s property. The broker or salesman receives a commission on the sale in the first escrow and a secret profit on the closing in the second escrow. Alley v. Nevada Real Estate Division, 94 Nev. 123, 124-125 (1978).

The law does not allow the agent who also has a right to purchase to wait until someone makes an offer of an amount in excess of the agreed purchase price and then elect to purchase the property at the lesser price without informing the owner of the higher offer, and, after the agent has obtained the consent from the owner to buy the property, then immediately sell it for the higher price as his own property. Alley v. Nevada Real Estate Division, 94 Nev. 123,125 (1978)



Legislative UpdateAffordable Housing vs The Zoning CodeContinued from Page 4New smart codes used by cities such as Minneapolis, Miami and the state of Oregon, try to avoid this by allowing for mixed-use and transit-based developments. Smart codes allow for increased densities, reduced setbacks and remove minimum lot sizes. Each smart code provides regulatory tools that allow for more flexible development while maintaining local standards. However, the Las Vegas Valley smart codes are utilized on a limited basis mainly within downtown districts and as redevelop-ment tools.

The combination of traditional restrictive zoning, along with the inability to change the zoning through the government process to match changes in development trends, has created islands of vacant land within the valley which are often close to the transit and employment corridors needed for affordable housing. Unfortunately, until the Southern Nevada jurisdictions start to take a closer look and how the zoning code regulations affect developer’s ability to make affordable housing pencil, we won’t soon see more of it being built in the valley.






Ready to start the Journey to yourCCIM Designation?

“The

Com

merc

ial R

eal E

state

Voice

For S

outh

ern N

evad

a”

Robin Civish, CCIM

Please contact yourCandidate Guidance Chair

with any questions:(702) 550-4977

Documents

Highlights From Inside · located at 6830 W. Oquendo Rd., Ste. 100, Las Vegas, NV with a value of $796,500.00. Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial