The complex move of R Supply
After calling 315 Record St.
home for 54 years, R Supply President Bob Edmonds found himself needing to relocate his plumbing supply business to accommodate ReTRAC.
Edmonds found some properties were too big, some too small, some too expensive and nothing just right.
But after two years, 200 potential properties, one failed deal, and countless meetings, Edmonds found a new home through a groundbreaking arrangement.
Through complex negotiations, Mike Hoeck, an industrial broker with Colliers International, and Panattoni Development Co.
worked with Reno officials and the Airport Authority of Washoe County to solve R Supply’s dilemma.
They would negotiate a 50-year land lease, the longest in Reno history, on 10 acres near Rock and Longley.
And then they would put the first non-airport operation on airport property, another first.
“This deal is historic for so many reasons,” Hoeck said last week.
“For one, it proves that ReTRAC can mean good things for companies needing to relocate to accommodate the project.
It also opens the door to countless opportunities for private business on airport property which can benefit companies from a tax standpoint and the airport from a revenue standpoint.”
Edmonds wanted to buy the property, but the Airport Authority couldn’t sell it because of FAA regulations.
Instead the authority agreed to the 50-year land lease.
Before financing and final contract details were in place, Panattoni agreed as a show of good faith to sign the 50-year land lease and begin constructing the 70,000-square-foot facility.
In the end, it will sell the building and assign the land lease to R Supply.
“This ReTRAC success shows what teamwork can do,” says Reno Mayor Bob Cashell.
“I’m proud of the efforts Bob Edmonds and his team made to take the opportunity the ReTRAC project offered to move forward to improve an already successful and important local business.
He recognized how vital the ReTRAC project is to the community, combined the right resources and teamwork to achieve his goal, and worked with the City of Reno in a positive, progressive and cooperative effort.”
Krys Bart, executive director of the Airport Authority of Washoe County, said the lease generates revenues for the airport, which helps keep airlines’ landing fees low.
For Edmonds and his team of 70 employees, the move allows them to consolidate multiple locations in Reno into a new state-of-the-art facility that will be cleaner, more efficient and less expensive to operate.
“Yes, we were displaced because of ReTRAC, but we’ll be stronger because of it,” said Edmonds.
“We weren’t adversarial in our dealings with the city, we knew we could eventually come to an agreement that would be a win-win for everyone.”
Hoeck, who has negotiated six of the ReTrac relocations, says most have gone smoothly despite the few negative stories that have garnered so much attention.
“I would say a majority of the transactions were negotiated in such a way that both sides were pleased with the outcome.
And, when you consider how much ReTRAC will enhance our area, the benefits are more far reaching.”
R Supply’s 70,000-square-foot new facility at 1095 S.
in Reno is being developed by Panattoni Development and built by Panattoni Construction.
“We know the significance of getting a project like this completed,” said Panattoni Project Manager Jason Quintel, the project manager for Panattoni.
“This isn’t just good business for us, or R Supply, it’s good business for northern Nevada.”
The building, designed by Blakely Johnson & Ghusn Engineering and Architecture, will feature loading docks, office space, retail space and cost-saving technology such as motion-sensor lighting in areas of the warehouse that automatically reduces to 20 percent power when there is no activity in the area.
The unanimous approvals Wednesday came despite state leaders promising to tighten up requirements for Nevada’s tax abatements and incentives for future companies.