A new industrial project near Nellis Air Force Base landed a tenant that says it will supply luxury suites for Las Vegas’ upcoming Formula One race.
Illinois-based InProduction, which provides temporary seating, staging and the like for events, leased a newly built warehouse that spans more than 102,000 square feet, brokerage firm Cushman & Wakefield announced this week.
Cushman represented the tenant, which expects to occupy the building, near the intersection of Lamb Boulevard and Cheyenne Avenue in the northeast Las Vegas Valley, next month.
InProduction President and CEO Jason Tedrow confirmed to the Review-Journal his firm is moving there from a smaller industrial space a few miles away.
“We need to expand our operation in Vegas,” he said, noting America’s casino capital is a major entertainment hub with lots of big events.
He said that the company is providing several “multi-level hospitality structures” for the F1 race and that they’re more like luxury suites. For the most part, they will be along Koval Lane just east of the Strip.
A spokeswoman for F1 owner Liberty Media Corp. did not respond to a request for comment.
Scheduled for Nov. 16-18, Las Vegas’ Formula One race is poised to draw huge crowds. The 3.8-mile route will include a stretch of the Strip, and drivers are expected to reach speeds of more than 200 mph.
Casino chain Caesars Entertainment Inc. unveiled a $5 million VIP “Emperor Package” for the race that includes five nights in a villa with views of the track.
MGM Resorts International announced it will build grandstands in front of Bellagio’s iconic fountains for the event.
“Access to these epic seats is currently only available as part of MGM Resorts’ race-and-stay packages,” the casino giant said in a news release.
The race is expected to produce a windfall of spending in Las Vegas, with almost $1.3 billion in total economic impact, according to an announcement Monday from Las Vegas Grand Prix CEO Renee Wilm.
InProduction, for its part, locked up a new warehouse amid strong demand for distribution space in Southern Nevada. The local industrial market’s vacancy rate was a record-low 1.3 percent in the third quarter last year, brokerage Colliers International reported.
Developer EBS Realty Partners broke ground on the northeast valley project last May without a user lined up first, a common approach to warehouse development in Southern Nevada. It finalized a lease with InProduction last month, EBS founder and managing principal Quinn Johnson told the Review-Journal.
“We had a lot of tenant activity on it,” he said.