A bill that would transfer more than 500 acres of federal land to Henderson for a business center in the far western edge of the city is expected to make it through Congress by the end of the year.
Henderson officials, meanwhile, said prospective developers and companies looking to relocate to the proposed project next to the Henderson Executive Airport are already lining up.
The complex, which is expected to include a range of businesses such as light manufacturing, research and development facilities and corporate and regional headquarters, could employ more than 20,000 people, according to John Restrepo, a principal at the research firm Restrepo Consulting Group, who estimates there could be 6.5 million square feet of space constructed.
There is a lack of industrial land in the Las Vegas Valley, where the vacancy rate is 6.3 percent, one of the lowest points in the last decade, officials said.
Restrepo said it's important for Henderson to have more industrial development as a balance to its residential uses. The site will not only generate jobs but tax revenue that pays for city services used by residents.
"To have 500 acres of contiguous land is virtually unheard of anymore," Restrepo said. "With its proximity to the airport (McCarran International), I-15, the Strip and residential areas, it will be a great job center, a great employment center."
Restrepo said it helps being close to McCarran, where businesses will ship cargo, but being adjacent to the Henderson Executive Airport is also a plus for companies that want to fly their corporate jets out of the general aviation facility.
There's no opposition to the companion bills in the Senate and House that are pending in committees and expected to be approved sometime in the fall, said Tessa Hafen, a spokeswoman for Senate Minority Leader Harry Reid, D-Nev. All members of the Nevada delegation are supporting the legislation.
The legislation transfers land directly to Henderson, which would circumvent the normal auction process of federal land through the Bureau of Land Management, which hasn't taken a position on the bill.
About 85 percent of the proceeds from the city's auction would be set aside for acquiring environmentally sensitive land, as happens with BLM auctions.
Henderson is seeking that control so it can zone the property and lay out specific uses ahead of time. That would help prevent developers from buying the land for housing and apply political pressure on the city to get their project approved, said John Rinaldi, the manager of property and redevelopment for Henderson.
Rinaldi said Henderson wants to protect both the airport and someone buying a home.
"The primary motivation is to ensure these lands are not put to other uses that are incompatible with the airport," Rinaldi said. "We can do that by being able to own it and formally zone it and deed restrict it that it can't contain any residential development."
A year ago Plise Development withdrew plans to build 278 homes on 73.7 acres west of the airport after city staff objected. Residential areas next to area airports have caused friction for years in the Las Vegas Valley. Homeowners complained about noise and safety around the airports that in most cases were there before any homes were built around them.
The congressional legislation calls for a transfer of 547 acres, but that will be reduced to 502 acres, Rinaldi said. That will allow the Henderson Airport, which is owned and operated by Clark County, to acquire 45 acres of federal land on the southwest edge of the airport for yet to be determined uses, he said.
Rinaldi said losing the 45 acres to the airport isn't a problem for the business center. He said Henderson wants the airport to have enough land to meet its future needs.
Elaine Sanchez, a spokeswoman for the Clark County Aviation Department, said county officials approached the city about the legislation, but their concerns have been resolved. She said it is important for the airport, which is undergoing a renovation, to have enough land for a buffer.
"You don't want a residential development right next door to the airport," Sanchez said. "That would not be good for the residents or good for general aviation."
The 502 acres is comprised of two parcels, one southwest of the airport and a second site south of the airport, Rinaldi said. Federal land in between the airport's boundary and the southern parcel will also be set aside as a preserve to further buffer the airport, he said.
If the land sale to Henderson is approved by Congress and signed by President Bush, it would take at least a year for the city to prepare its plans for the property before auctioning it off, Rinaldi said. No decision has been made on what size the parcels will be auctioned as, he said.
Prospective developers and companies looking to build in the business park have already come forward, said Bob Cooper, the city's economic development director. There has been interest in some developers for an auction of 100 acres each and one suggested an auction of the entire 502 acres, he said.
Henderson's two primary industrial parks are full and the city lacks industrial property that local businesses desire expansion of operations in the community, Cooper said.
The city has generated interest from companies outside of Henderson that work in research and development and medical equipment manufacturing.
Companies in Henderson looking to expand include equipment manufacturers, beverage companies and medical supply companies, he said.
"We are very excited about having that property become available," Cooper said. "We have a high degree of interest in the valley by local businesses wanting to expand to that area. We think it is a prime location."
Some companies don't want to locate in business centers at the north end of Las Vegas Valley because they have to contend with traffic, especially when they are shipping to and from California, said Jeremy Aguero, a principal with Applied Analysis, a Las Vegas economic research firm.
Although the demand for industrial use and office space is strong for companies, the problem is keeping down the cost of land, Aguero said. He said Henderson's plan of acquiring the land and setting the zoning and design guidelines for the 502 acres will hold down the cost.
But Aguero said the city's auction must prevent someone from buying the land and holding it for several years to increase its value.
Rinaldi said the city hasn't gone that far into the planning process to decide what parameters will be set on the land.
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