Zikakis: The Reno real estate market didn't do very well during the recession. Reno's economy and real estate market were significantly impaired during the recession, with its unemployment rate topping out close to 14% in 2009. The city's reliance on gambling and tourism to drive its economy made it particularly vulnerable to the recession. In response, state and local government officials decided it was critical for Reno to diversify away from gambling and take the steps necessary to turn it into a business-friendly, low cost, diverse manufacturing hub.

Since its employment trough in 2011, Reno has added more than 33,000 new jobs, and the city has recruited more than 100 businesses to relocate or expand in the Reno market. We believe the city is now poised to really outperform the national averages.

GlobeSt.com: How would you characterize the market now?

Zikakis: E-commerce and technology are now driving the market and have significantly offset Reno's traditional reliance on gambling and tourism. Numerous companies (Tesla, Switch, Amazon, Petco, eBay, Zulilly, Diapers.com and Walmart among them) have committed to opening large manufacturing and warehousing facilities in the Reno metro area. resulting in tremendous long-term employment growth. Although many high-profile announcements were made a few years ago for the development of large corporate relocations and start-ups (Tesla and Switch being the most notable), the actual impacts are now starting to be realized as construction for those developments nears completion and the facilities open. With their facilities open, these companies are expected to generate 10,000 to 15,000 jobs during the next few years. Given the market's current unemployment rate of only 4.9%, most of these jobs will need to be filled from people coming from outside the Reno market, which has fueled and will continue to fuel housing growth and retail-development opportunities.

GlobeSt.com: What is appealing to businesses about locating in the Reno market?

Zikakis: There are many things for businesses to like about Reno: no corporate or personal income tax, government officials that are willing to provide additional incentive packages for relocation, limited impact fees, faster development and entitlement processing times than other competing markets, a skilled and affordable workforce (Nevada is a right-to-work state), affordable housing for that same workforce and a central location in the western region with good transportation infrastructure. With the presence of large dominant companies such as Tesla, the market has and will continue to see a “clustering affect” where companies choose to locate in Reno in order to increase productivity by being close to related companies in their industry, with similar customers, suppliers, service providers, etc.

GlobeSt.com: What else should our readers know about the Reno market?

Zikakis: The availability of clean, renewable power is also a big factor for helping push companies to Reno. Nevada has some of the largest geothermal and solar assets in the country and, for companies that want to minimize their carbon impact, it is a very important benefit. As an added bonus, the ski resorts in the area are having one of their best years ever.

SAN DIEGO—Reno, NV, has added more than 33,000 new jobs since 2011 and has recruited more than 100 businesses to relocate or expand in the Reno market, making it poised to really outperform the national averages, Capstone Advisors' president and founder Alex Zikakis tells GlobeSt.com. Big names like Tesla, Amazon and Apple have invested in this market, and Capstone is bullish on its future given the clustering effect that often follows cutting-edge tech companies.

To that effect, the firm recently closed on 98 acres of commercial and residential land in Reno known as Sky Vista. The parcel consists of a 1.91-acre pad site immediately adjacent to an existing Walmart Supercenter and a nearly 96-acre parcel of adjacent land entitled and planned for residential, retail and industrial development. The project enjoys a high visibility location and access adjacent to US Highway 395 in the North Valley region of northern Reno. Capstone intends to develop a 10,000-square-foot retail building on the out-parcel adjacent to Walmart and hold the balance of the land for future development.

We spoke with Zikakis about the Reno market's journey through and beyond the recession and why it appeals to so many businesses now.

GlobeSt.com: How did the Reno real estate market fare during the recession, and how has it recovered?

Zikakis: The Reno real estate market didn't do very well during the recession. Reno's economy and real estate market were significantly impaired during the recession, with its unemployment rate topping out close to 14% in 2009. The city's reliance on gambling and tourism to drive its economy made it particularly vulnerable to the recession. In response, state and local government officials decided it was critical for Reno to diversify away from gambling and take the steps necessary to turn it into a business-friendly, low cost, diverse manufacturing hub.

Since its employment trough in 2011, Reno has added more than 33,000 new jobs, and the city has recruited more than 100 businesses to relocate or expand in the Reno market. We believe the city is now poised to really outperform the national averages.

GlobeSt.com: How would you characterize the market now?

Zikakis: E-commerce and technology are now driving the market and have significantly offset Reno's traditional reliance on gambling and tourism. Numerous companies (Tesla, Switch, Amazon, Petco, eBay, Zulilly, Diapers.com and Walmart among them) have committed to opening large manufacturing and warehousing facilities in the Reno metro area. resulting in tremendous long-term employment growth. Although many high-profile announcements were made a few years ago for the development of large corporate relocations and start-ups (Tesla and Switch being the most notable), the actual impacts are now starting to be realized as construction for those developments nears completion and the facilities open. With their facilities open, these companies are expected to generate 10,000 to 15,000 jobs during the next few years. Given the market's current unemployment rate of only 4.9%, most of these jobs will need to be filled from people coming from outside the Reno market, which has fueled and will continue to fuel housing growth and retail-development opportunities.

GlobeSt.com: What is appealing to businesses about locating in the Reno market?

Zikakis: There are many things for businesses to like about Reno: no corporate or personal income tax, government officials that are willing to provide additional incentive packages for relocation, limited impact fees, faster development and entitlement processing times than other competing markets, a skilled and affordable workforce (Nevada is a right-to-work state), affordable housing for that same workforce and a central location in the western region with good transportation infrastructure. With the presence of large dominant companies such as Tesla, the market has and will continue to see a “clustering affect” where companies choose to locate in Reno in order to increase productivity by being close to related companies in their industry, with similar customers, suppliers, service providers, etc.

GlobeSt.com: What else should our readers know about the Reno market?

Zikakis: The availability of clean, renewable power is also a big factor for helping push companies to Reno. Nevada has some of the largest geothermal and solar assets in the country and, for companies that want to minimize their carbon impact, it is a very important benefit. As an added bonus, the ski resorts in the area are having one of their best years ever.