EDITORIAL: How Trump can lower housing costs in Nevada

Consider the plight of an NFL punter. A mistake by the punter can cost his whole team the game. But even if the punter performs exceptionally well, he’s mostly powerless to win the game.

This is a bit like local government officials working to lower housing costs. They have a vital role to play. Their mistakes can thwart new construction projects. Without new supply, prices will rise when demand is strong. But even if they do everything right, it’s no guarantee that housing prices will come down.

As the Review-Journal’s Patrick Blennerhassett recently reported, officials in Southern Nevada’s three biggest cities have said they’re working to quickly approve construction projects. Las Vegas says its review time for new residential projects averages three days. For commercial projects, it’s six days. Of nearly 2,300 residential and commercial permits issued last year, around 90 percent were advanced within three days. That time frame doesn’t include needed project revisions.

Alfredo Melesio, North Las Vegas’ director of land development and community services, said of the city’s entitlement process (for example, zoning or density decisions), “Once the applicant applies, we can get them an answer, yes or no, within 60 to 90 days.”

In Henderson, projects can be approved in around seven weeks, according to Eddie Dichter, director of community development and services. Construction that needs “City Council action takes approximately 10 to 11 weeks,” he said.

These differing timeframes suggest every municipality should continue to look for ways to speed up project approval.

Even so, compared to other locations, these are quick reviews. Elon Musk, one of the world’s most successful businessmen, said L.A. fire victims will “face multi-year waits” to get rebuilding permits. In 2019, Jason Yu wanted to open an ice cream store in San Francisco. He signed a lease and then waited for city approval. And waited. And waited. After two years of delays and $200,000 down the drain, he finally abandoned his plans.

California’s routine delays are a reminder of how a punter can lose the game. But even Southern Nevada’s quicker approvals haven’t dramatically reduced housing prices.

That’s because housing prices are influenced by numerous factors, including higher supply costs, a shortage of construction workers, and the cost of land. Another issue is that Californians fleeing Gov. Gavin Newsom’s progressive paradise keep moving here.

Some of these problems require long-term solutions, but one can be fixed relatively quickly. The Las Vegas Valley is surrounded by land managed by the federal government. The BLM even still maintains pockets of land in fully developed areas of Clark County. This is a wasted resource.

President-elect Donald Trump campaigned on releasing federal land for new housing. Gov. Joe Lombardo has advocated the same. They must not punt away this opportunity to help lower housing prices in Nevada.

This editorial has been updated to clarify that North Las Vegas’ timeline applies to entitlements, not permits.