There are unique opportunities for those who understand how to navigate the region’s complexities.
Southern Nevada continues to attract out-of-state developers thanks to its pro-growth attitude, favorable tax climate and strategic location. Nonetheless, the region presents unique legal, regulatory and logistical challenges that should be understood before breaking ground.
Navigating these issues often requires familiarity with Nevada-specific statutes, local municipal processes and regional development norms that differ markedly from other states. Additionally, Southern Nevada’s rapid pace of growth means zoning expectations, infrastructure capacity and community priorities can shift quickly, making early due diligence essential.
Out-of-state developers would be wise to consider the following complexities before entering the southern Nevada market.
Know the Jurisdiction: City vs. County
Nevada is divided into 17 counties that contain various incorporated cities. Importantly, unincorporated areas fall under county — not city — governance. In southern Nevada, developers typically consider land in unincorporated Clark County or one of three cities: Las Vegas, North Las Vegas or Henderson. Most of the famed Las Vegas Strip lies in unincorporated Clark County, not the city of Las Vegas.
Before beginning a project, developers should determine which jurisdiction (city or county) governs the site and study the applicable municipal or county development codes. Each has distinct zoning, permitting and approval processes that can significantly impact site design, timeline and submittal requirements. Understanding these jurisdictional nuances early not only reduces surprises but also helps with engaging the correct agencies and stakeholders from the outset.
Federal Land Ownership Limits Access to Privately Developable Property
Approximately 80% of Nevada is federally owned and is primarily managed by the Bureau of Land Management (BLM). This creates challenges in accessing outlying parcels, especially when federal easements or rights of way are involved. Many BLM encumbrances do not appear on standard title reports because they are unrecorded. A thorough due diligence process, often involving direct communication with BLM, is critical if a site is near undeveloped federal land.
This also means most large tracts of undeveloped property are either not privately accessible for development or must be accessed through the Southern Nevada Public Land Management Act (SNPLMA), which requires a very specific nomination and public auction process. Once that process is completed, the acquiring party must then navigate:
- Annexing into an incorporated city’s boundaries and out of unincorporated Clark County (if so desired).
- Proceeding through the relevant jurisdiction’s zoning and entitlement process, which could require payment of fees to connect to public services.
For example, in West Henderson, a public facilities needs assessment would apply and require a development agreement. Legal counsel can help developers understand both SNPLMA and what comes next.
Resources Are Regional
While a developer may be working with one jurisdiction, major projects in southern Nevada are often subject to regional review. Water, flood control, transportation and environmental concerns are managed through coordinated regional efforts, which can trigger cross-agency oversight.
This can provide benefits, such as limiting environmental reviews under the Endangered Species Act due to a federal permit held by Clark County under the Multiple Species Habitat Conservation Plan.
Conversely, Nevada’s access to water from the Colorado River is limited, and conservation is a top priority. Development in southern Nevada is heavily regulated through regional water planning authorities. One such conservation measure provides for a moratorium on evaporative cooling technology in new commercial and industrial buildings, which is a major consideration for large-scale and significantly vertical developments. Accounting for these additional reviews
is essential to a successful development.
Utility Access Requires Early Engagement
Southern Nevada’s utility infrastructure is largely controlled by privately owned utility companies, which are regulated by the state’s Public Utilities Commission. One important detail for developers to consider is that most of these utilities do not reserve capacity for future projects. Therefore, it is critical to initiate discussions early in the development process to confirm capacity, obtain will-serve letters where available and plan for long-term utility needs.
Especially in mature areas, utility capacity is a common issue and may require connection points that are farther away from a project than initially anticipated. These new connections may require extensive coordination with one or more utility companies or third parties. Additionally, continued sustainability initiatives may require modifications or additions to site design to meet development code requirements and utility service rules. Early conversations with utility companies to discuss development needs and utility requirements are essential to avoiding delays with new development.
Follow the State Legislative Cycle and Incentive Processes
The Nevada Legislature meets biennially for four months (not including the possibility of extension through a special session). At the most recent session, which concluded in June 2025, the Legislature considered 601 Assembly bills, 508 Senate bills and 28 joint resolutions. Much of the action, including a record 87 vetoes by Gov. Joe Lombardo, occurred during the last week of the session.
This timing matters, as significant land use, zoning and development legislation is often passed during these sessions. For example, Assembly Bill 241 from the 2025 session required that no later than March 1, 2026, each governing body adopt an ordinance authorizing by-right development of multifamily housing or mixed-use developments that include residential use on properties currently zoned for commercial use; industrial property does not fall within the scope of commercial use. The ordinance may establish the standards for doing this.
Entities like the Governor’s Office of Economic Development, Las Vegas Global Economic Alliance and other regional development authorities are excellent starting points for exploring incentives, abatements or public-private partnership opportunities. Engaging with them early can enhance a project’s viability. For example, Senate Bill 28, championed by the city of Las Vegas, encourages development of public transportation near housing developments. It will allow developers proposing projects that align with a municipality’s goals for affordability or transit-oriented development to partner with local governments to use tax increment financing to fund necessary public infrastructure, such as new roads, utility upgrades or transit stops. This could significantly reduce a developer’s off-site improvement costs, making large-scale, master-planned and mixed-use projects more financially feasible.
With Brightline breaking ground on its new high-speed rail, and reports of The Boring Company steadily assembling property interests for its transit tunnel system (the Las Vegas Loop), southern Nevada is creating the framework for more transformative regional mobility projects. New large-scale transportation initiatives may influence how private development connects with public infrastructure. At a time when construction costs remain elevated and unpredictable, having local governments engaged as collaborative partners on issues of infrastructure, access and permitting could be paramount to a project’s feasibility.
Emerging Opportunities
Southern Nevada offers strong potential for those who navigate its complexities strategically. Understanding the full landscape — from jurisdictional differences to infrastructure and environmental regulations — before building will save time and money and mitigate risk. With the right guidance from local planning and legal experts, out-of-state developers can move forward with confidence, capitalizing on the region’s unique opportunities.
Jamie Thalgott and Rebecca Miltenberger are shareholders in the Real Estate Department at Brownstein Hyatt Farber Schreck and are based in the firm’s Las Vegas office.
