D
evelopers in landlocked Las Vegas are eager to tap into the vast federal lands that surround the city, but these resources remain largely out of reach. As buildable land becomes increasingly scarce and prices skyrocket, builders covet the extensive holdings owned by the government. The typical price of commercial land has doubled since 2022, reaching $16.56 per square foot in the second quarter, while home prices have risen 40% over four years.

    The federal Bureau of Land Management controls a staggering 88% of Clark County, including Las Vegas, making it the largest percentage in the country. This constraint is seen as a major limiting factor for development and expansion. The Southern Nevada Public Land Management Act identified 67,000 acres available for disposal, but only around 27,000 acres remain to be sold.

    Developers must first identify parcels to local governments before they can be sold, a process that has been slow to move forward. Since 1998, just over 44,000 acres have been disposed of through land sales and other means, far short of the goal to exit the urban land management business within five to 10 years.

    Experts point to the BLM's control as the root cause of the crisis, citing supply and demand imbalances that drive up prices. A proposed bill aims to streamline the appraisal process for land in the Las Vegas Valley, but progress remains slow.