What’s happening with the old Kmart building in Henderson?

A former Kmart building in Henderson is on the market for sale, five years after the retailer shuttered in 2018.

Grant Traub and Pat Marsh, commercial real estate brokers with Colliers International, are now finally hoping to sell the box-big retail space to a longtime user that will bring more jobs to the city.

The old Kmart, at 732 and 748 South Racetrack Road, is on the market for $13.5 million. It just off Boulder Highway in southeast Henderson.

Originally built in 1992, Kmart vacated the property in 2018, and it was later purchased by a company that makes wine refrigerators and used the building for retail and wholesale operations before being purchased and relocating to Reno last year. The building is 119,748 square feet and on 8.6 acres. Approximately 20,000 vehicles cross the intersection near the property every day, according to Colliers.

“Being a former Kmart, there has been a ton of interest,” Traub said. “Some of them have been self-storage users, sports and recreational companies, pickleball, indoor skate parks, we’ve had manufacturers look at the building.”

Traub added they want to make sure the right tenant comes into the property given its location and with the historically iconic feeling of the building, which was once a bustling shopping mall and community mecca.

“We’re hoping to get a large company to come in there with a lot of employees but the right company, of course.”

Traub said they are currently working with the city of Henderson to rezone the property, so they can potentially attract a wider net of prospective buyers or tenants. He said there’s currently a lot of strong interest from several large companies.

The city of Henderson confirmed to the Las Vegas Review-Journal that initial talks have taken place.

The Kmart lot is just south of one of five of the city of Henderson’s redevelopment areas. Henderson Redevelopment Manager Anthony Molloy said this area — which encompasses downtown and the eastside of Henderson — is a key part of the city’s revitalization push.

“The Reimagine Boulder Highway Project is being led by the (Regional Transportation Commission of Southern Nevada) and will accommodate future growth along the corridor while improving safety and setting a scalable foundation for future enhancement,” he said. “Within the city of Henderson, bus rapid transit will transition from side running to center running and include landscaping enhancements along the corridor.”

Molloy said the East Henderson Boulder Highway Corridor is seeing a lot of growth, with seven new commercial projects recently approved and at various stages of pre-construction and design.

“Between Jan. 1 and June 30 of this year, 48 new businesses have opened in that area,” he said.

Eight new multifamily housing projects have also received approval and are at various stages of development, which will amount to 1,575 new apartment units. This is on top of a townhomes project approved at the corner of Boulder Highway and College Drive on 20 acres that will add 302 homes.

The city of Henderson was one of the fastest-growing municipalities in the country last year and is currently undergoing a massive wave of development in various regions across the city. Jared Smith, the city’s director of economic development and tourism said the city’s growth strategy is entirely deliberate and in line with creating a city that upholds a certain set of core values, and staying away from developing simply for the sake of developing.

“As we pitch Henderson to companies outside the region, our goal is to identify companies that are a great fit for the future of our workforce and locations that best fit their needs,” he said. “Additionally, we pitch companies that will not only spur economic activity but share the same values as the city when it comes to protecting our natural resources. Once a company selects Henderson, we continue our relationship to ensure the company obtains resources in workforce development, economic incentives, and data that help drive its growth.”

Contact Patrick Blennerhassett at pblennerhassett@reviewjournal.com.