Carson City, Nevada
The
state capital of Nevada, it is located at the base of the eastern slope of the
Sierra Nevada mountains 30 miles south of Reno, Nevada and 14 miles west of
Lake Tahoe. The City is bisected by
U.S. Highway 395 (Carson Street), the main north-south thoroughfare through
Nevada on the western side of the State and by U.S. Highway 50, which connects
the Lake Tahoe area to Carson City and eastern Nevada.
Carson
City has an estimated population of 40,443+ people as of July, 1990
census. The 1980 census population
was 32,022 for a 2.63% average annual increase since then.
The yearly increases for 1987, 1988, 1989 and 1990 were 1.7%, 2.2%, 2.5%
and 2.9%, respectively, indicating the City is growing at a moderate but healthy
rate. Many residents in Carson City
commute to the Reno area as it is within an easy 30-minute drive from Carson
City. North Douglas County and west
Lyon County serve as bedroom communities to Carson City.
The major bases of the economy in
Carson City in approximate order of magnitude are:
government employment (34%), tourist related and gaming businesses
(21.2%), wholesale retail (18.3%), manufacturing (15.8%), construction (4.9%),
finance, insurance, and real estate (3.3%).
Government, although not normally considered to be an economic base, is
considered as such for Carson City because most of the salaries of government
workers represent new money for the City.
The
community actively recruits smaller non-polluting industries and has attracted
several companies into the area from the high tech electronic field. The larger firms in order of employment are United Engine
(350+), and Mallory Electric (230+).
Retail sales have increased over the
past decade. Carson City's retail
sales have slumped along with the rest of the nation and Nevada.
Nevada's retail sales were up 3.0%.
The recent opening of Wal-Mart and Supply One Stores has helped Carson
City's sales.
It
is estimated presently that Carson City is a shopping hub for approximately
80,000 people. This includes Carson
City and the rapidly developing areas of north Douglas County and west Lyon
County which serve as bedroom communities to Carson City.
Wal-Mart Stores opened their new 115,000+ square foot store at the
south end of town in July, 1991 and Supply One opened a large retail outlet on
South Carson Street in December, 1991. K-Mart
has recently developed a large shopping facility at the north end of Carson
City. As the Carson City commercial and retail areas grow, less
reliance will be put on shopping in Reno and this, in turn, would keep many of
the sales dollars in Carson City.
Gaming
provides approximately 60% of the annual budget revenues for State agencies in
Nevada. In Carson City, there are
three large casinos, the Carson Nugget, the Ormsby House (recently reopened
after being closed due to bankruptcy proceedings) and the Carson Station.
Construction
activity increased dramatically in the past decade.
Subsequently, new housing permits have increased.
The commercial and industrial sectors are the strong areas.
The general growth in all sectors of Carson City and the boom in the
north Douglas County, west Lyon County, and Reno areas has prompted new commercial
construction.
Because
of the rapid expansion during the middle to late 1970's, the sewer and water
facilities for Carson City were taxed and in 1978, the City instituted a growth
management ordinance. The growth management
ordinance was primarily designed to limit new residential construction to a
maximum of 3% per year of existing residential units. The growth ordinance
allows a maximum of 25 entitlements to a developer for the first 4 months, then
12 more within the next 4 months, if available, and then first-come-first-serve
after that. The general category
which includes owner/builder and small builders limits each user to five units
the first 4 month, two the next 4 months and then first-come-first-serve after
that. Commercial development not
requiring heavy sewage treatment use is not restricted by the growth management
policy.
At
the same time the growth ordinance was approved, the State Department of Water
Resources stopped approving new subdivisions in Carson City.
They felt the area's water resources were already over-allocated.
The City, however, bypassed the State requirements by using parcel maps
which did not require State approval. A
tentative map was approved by the City for a subdivision, then only four lots
are recorded at one time. However,
in January, 1990, the State changed its policy and once again is approving subdivisions.
The
uncertainty of obtaining permits and the limited number available to a single
developer kept large developers of residential subdivisions out of the area and
discouraged lot development. All
this created a short supply of developed lots, especially on the west side of
Carson City. The City is currently
pursuing new water with the drilling of more wells; it has upgraded the water
storage and distribution system; and it has hired a full-time water resources
manager. In September, 1990, the
City approved the purchase of 926.5 acre feet of water from Kings Canyon from a
private owner. Including this new
purchase, the City now has 13,024 acre feet of water with 11,730 acre feet
usable. Current usage is
approximately 9,136 acre feet. The
projected use is 11,921 acre feet by the year 2000.
With new water, the City's water needs are expected to be met under the
3% growth management ordinance until the year 2010.
There
is adequate sewer and water available for development and considerable
residential, commercial and industrial land available for development in Carson
City. The outlying areas which rely
on Carson City for shopping should continue to keep retail sales strong and
result in good demand for retail and commercial land.
The community growth has had a positive impact on users and buyers of single family and multi-residential properties. Much of the residential demand is created from outside of Carson City from the relocation of businesses to Carson City. In effect, the national economy and business climate of the area, including relatively low taxes and land values, appear to be the driving forces for small manufacturing companies to come to Nevada. These favorable factors should continue and help to create a demand for not only industrial/commercial properties, but for residential properties necessary for employee housing.