Doug Roberts, a partner at Panattoni Development, has been involved in several large-scale projects in Southern Nevada. Having been in the real estate development business for 25 years, he has seen Las Vegas transform several times over and has had a front-row seat for the area’s decline during the Great Recession — and possible resurgence today.
Which project of yours here has been the most rewarding?
I would not say any one project has been the most rewarding, but rather each one has its own set of challenges and we work through these challenges the best we can to arrive at a product that is cost-effective, functional and attractive to tenants and prospective buyers. Of course, location is of pivotal importance, so we strive to find project sites in key parts of the valley. It is rewarding to find a site that has great potential and see a development project come to fruition.
Why do you think Las Vegas is a prime location for expansion and development?
As California continues to have a challenging business environment, companies will look at Southern Nevada as a viable option. It is close enough to Southern California to allow company owners and executives to be within a four-hour drive of both a large population base and shipping facilities. The lower cost of living, coupled with low taxes and business-friendly regulations in Nevada, make it a magnet for companies in other states. Additionally, the resort corridor is a huge consumer of goods and services, and companies need to be as close as possible to service their customers. The number of visitors to the area continues to grow, and that will result in more companies needing space.
What are your expectations for commercial real estate in Las Vegas?
Given where the market has been over the past 10 to 15 years, we have seen some very high points and some very low points. The real estate market is poised for growth both in terms of new development as well as increased values for existing product. I am hoping the growth is steady and sustainable with sound fundamentals. If we grow too fast or if values rise too quickly, this may result in some of the issues we saw before the economic crisis, such as an oversupply of projects, poorly designed buildings, and the valuations that were supported by the common metrics used by the real estate industry. The valley does need more product, but we need to grow smart.
What has been the highlight of your career?
Certainly becoming a partner with Panattoni has been the highlight of my career. I started my professional life essentially in social services, in particular working with young people with a conservation corps in Sacramento, as well as the Sacramento County Juvenile Hall. I began my real estate career in Sacramento, and I have been fortunate enough to work for companies that fostered my eagerness to learn every aspect of the business.
What is the most challenging part of your job?
Carl Panattoni, owner of Panattoni Development, has always said that the best developer is the best guesser, and being a good guesser is the most challenging part of being a developer. There are many moving parts in any development project, large or small. With experience, you will come to understand there is always something you missed, but you have contingencies built into the budget or other ways of handling these unforeseen conditions that can help mitigate their effect on the project. Development is part science and part art, as the developer must forecast future market conditions such as tenant demand, required design features, and the overall project budget based on as many facts as can be obtained. In essence, you try to guess correctly.
What has been the most rewarding part of your job?
There is a sense of pride when a project is complete, and even if you sell the building, it will be there for years to come. Hopefully what we do adds to the state’s recovery from a very difficult period. By providing jobs when the buildings are being constructed as well as providing a space for a new or expanding company, we are an integral part of the state’s growth and economic diversification.
What are you reading?
“Killing Patton,” by Bill O’Reilly.
What do you do after work?
I have two children, so we always have things going on with school or sports. I have coached my son’s football team for six years. My daughter is a barrel racer, and we enjoy water sports in the summer and skiing in the winter. I try to work out five to six days a week, so I’m pretty much always on the go.
Describe your management style.
I let people chart their own path for the most part as far as getting their task completed, but I am available for consultation as much as is required. Technology has greatly enhanced our ability to get work done, with instant communication in-house and with contractors, tenants, brokers and other industry professionals. It can be overwhelming, but you need to keep some perspective — both in terms of not overworking yourself nor inundating your employees.
Where do you see yourself and/or your company in 10 years?
We see ourselves continuing to develop the kinds of buildings our tenants and buyers want. Lately, this has meant larger buildings with a higher clear height (ceiling height) to accommodate companies that want to warehouse more product and reach a more geographically diverse region.
What is your dream job, outside of your current field?
I dreamt as a teenager to be a professional musician and I did it for a while, but the dream faded. I luckily found a career that, while perhaps not as glamorous, is a great one nonetheless.
Whom do you admire and why?
Teddy Roosevelt — a larger-than-life figure who understood that while it was OK to hunt, fish and take advantage of the country’s natural resources, there was a need to preserve the land for future generations.
What is your biggest pet peeve?
Lately it has been condescension, mostly from politicians. Even if someone has a different opinion, there is usually a rational reason for their beliefs. It just seems of late there is more and more condescending speech from both sides arguing that the opposing party’s opinion is steeped in ignorance and stupidity and dismissed without any attempt to understand the basis for their arguments.