The migration of businesses to Douglas County from Carson City means a shift in sales-tax revenue, but a development expert says north Carson City could be the next hot spot.
Ron Weisinger, executive director of the Northern Nevada Development Authority, said changes in the business climate are cyclical.
With the groundbreaking in July of Carson-Tahoe Hospital's regional medical center and completion of the Carson City bypass on the horizon for the north end of town, Weisinger expects an increase in commercial and retail development -- everything from medical offices and services to retail businesses.
"The hospital is the magnet that will bring growth. It's been proven throughout the country many times," he said. "We're already starting to see that development with the new Holiday Inn Express."
The 83-room, multimillion dollar project is being built at Carson Street and Broadleaf Lane, near what will be the first freeway exit in north Carson City.
The picture seems bleaker in south Carson City, where businesses like Pier One Imports and Payless Shoe Source will soon leave for Carson Valley Plaza in northern Douglas County. The new development includes major stores like World Market and Bed, Bath & Beyond, plus the increased foot traffic many smaller retail businesses say they need.
Weisinger said any business development in northern Douglas County will bring benefits to the entire region, with businesses spilling into south Carson.
"Not everyone wants to be in the high-rent district," he said. "The old Wal-Mart building was sold to a developer, and Casino Fandango just opened in south Carson City. Both situations were challenges, but the problems were overcome."
Another challenge for Carson City has been a proposed auto mall. Local auto dealerships have looked for a location, and on Thursday Michael Hohl and A.M. Cryer, two Carson City auto dealership owners, submitted the winning $14.5 million bid for 144 acres of Bureau of Land Management property near Wal-Mart and the Carson Valley Plaza in Douglas County.
"Michael Hohl and Jim Cryer are good businessmen. They're not not just interested in car dealerships," Weisinger said. "We should be slapping them on the back for putting in that bid, thanking them because they're from Carson City. They have a significant investment here. This town has treated them very well, and they've done the same for Carson City."
Carson City filed a lawsuit against the federal government over the sale of that property, arguing it violates several federal land acts and will severely hurt Carson's economy. Disposition of the land won't be decided until after the case is heard in Washington, D.C., federal district court in October.
Weisinger said other Nevada counties are experiencing similar challenges. Lyon County officials recently approved construction of 10,000 new homes, but lacks retail businesses to serve residents and bring in needed sales-tax dollars.
"Lyon County doesn't have a Wal-Mart, Kmart or Home Depot," he said. "And they don't want to be a bedroom community, their residents working and spending their sales tax dollars in Carson City or Douglas County."
The Northern Nevada Development Authority recruits, retains, and expands businesses in four counties: Storey, Douglas, Lyon and Carson City.
"NNDA is the only regional development authority in Nevada," Weisinger said. " We have to be sensitive to the needs of businesses in each county."