Stewart Title move will leave a vacant downtown spot

A real estate title company located in downtown Carson City for more than 20 years will move east in April - leaving another vacant property in the heart of the city.

Brent Holderman, president/manager of Stewart Title, of Carson City and Douglas County, said Tuesday that the company's move to East College Parkway is better for business. Twenty employees will move into a 9,050-square-foot building at Irwin Financial Center, just east of the new Carson City Freeway.

"It's not because we don't like downtown," Holderman said. "We'll be in a better facility from a parking standpoint and a technology standpoint." The building at 111 W. Proctor St. is more than 50 years old.

Stewart Title has been in business in Carson City since 1984. Located across from City Hall in a high traffic-congestion area, the Stewart Title sign has been above Carson Street for 22 years. Although 95 percent of the company's business is referrals from Realtors and lenders, Holderman said it'll benefit the company to have a more accessible spot in a growing area of the city.

Despite its prime downtown location, 111 W. Proctor St. has several factors working against in, including a glut in the market.

"I think our office properties are potentially overbuilt and I expect it'll take awhile to rent this space," said Gary Sheerin, who owns the Stewart Title building. "But it is a great location across from City Hall and the Capitol."

He has no leads on a future tenant. Sheerin has owned the two-story building since 1986.

Bruce Robertson, a local broker who has worked with the owner on leasing this property, said there is nothing comparable to this building in its size or location - which could be tough to lease.

"There's a big concern that there's not a lot of large tenants out there looking for space that size," he said.

The Stewart Title building is 8,960 square feet.

"But the price he has on it is below the market rent," Robertson said.

The closest comparable lease property is 100,000 square feet on Nye Lane, which is going for about $1 per square foot a month. Sheerin has put the Proctor Street site on the market for 83 cents per square foot.

Having dark windows right across from City Hall isn't desirable for city officials, who recently unveiled a plan to create a more pedestrian-friendly downtown full of retail and restaurants.

"We'll certainly work with him," said Joe McCarthy, city economic development and redevelopment manager. "We have a history of working with people making improvements on their downtown properties."

But that may not translate into cash to give the bygone-era building a facelift. Unless the owner decides to turn it into a parking garage.

For the last year, all redevelopment monies for the downtown district have been earmarked for a parking structure that would include storefront retail. The fund has about $1 million, but McCarthy said no would-be developer has stepped forward to build it. The city also isn't sure if it's needed. A recent study shows that downtown has enough parking for its size. A parking structure is estimated to cost $20,000 per parking space.

Sheerin said he has no plans for his building except to keep it as office space.

• Contact reporter Becky Bosshart at bbosshart@nevadaappeal.com or 881-1212.