The gaming and hospitality industries will continue to serve as the cornerstones of the Southern Nevada economy, but they present opportunities for diversification, economic development officials said.
Speaking at a breakfast meeting this morning on the state’s economy, they said Nevada also is poised to play a role in shaping the future of transportation, citing recent investments from electric car companies Faraday Future and Tesla, as well as Hyperloop Technologies Inc.’s commitment to build its first test track in North Las Vegas.
Steve Hill, Gov. Brian Sandoval’s chief economic development official, reported that progress in improving the state’s development was stronger in 2015 than the previous year.
He said much of this is due to Nevada’s reputation as a “get-it-done” state that brings private and public stakeholders together to encourage businesses to come here.
“The state of Nevada has an aggressive desire to figure out how to say yes,” Hill said.
During remarks at the Four Seasons ballroom, Jonas R. Peterson, who heads Southern Nevada’s primary economic development organization, said one way the Las Vegas area can grow its economy is to promote gaming’s adjacent industries. These include video game production, the film industry and security companies.
Peterson cited 10 projects expected to amount to an investment of $10 billion in coming years. Several are associated with the Strip, such as the construction of Lucky Dragon Hotel & Casino, a convention center expansion at Aria, T-Mobile Arena and Resorts World.
One obstruction to economic development in Las Vegas: transportation.
“If we are going to be successful, new investments are going to be required here,” Peterson said.
Peterson, who heads the Las Vegas Global Economic Alliance, said investments are needed in high-capacity transit and in improving the visitor experience from the airport to the Strip.
He also said work remains to be done to improve education and develop a stronger workforce.
Another high-target development area officials identified was the valley’s health care industry.
Hill called the creation of a UNLV medical school a “critical step” and said it is important to provide residencies to increase the probability graduates stay in the state.
Diversification has long been a goal of the governor’s economic development team.
Hill cited Tesla’s battery factory, Faraday Future’s planned manufacturing plant and Switch’s top-tier data centers as anchor investments that will help the state create industry clusters.
“Those types of companies are allowing us to have a foundation to grow from,” he said.