Should I Buy or Lease Industrial Real Estate? Here’s What Reno Businesses Need to Know
If your business is expanding and you're eyeing warehouse, distribution or flex space in Northern Nevada, you’re likely weighing a key question: Should we lease or buy industrial space? It’s one of the most searched—and most important—questions business owners and operators face today.
As a local expert in the Reno-Sparks industrial market, I help companies navigate this decision every day. The answer depends on your growth strategy, cash flow and how long you plan to stay in the space.
Buy or lease? A closer look at industrial space decisions in Reno’s competitive market.
Here’s a breakdown of the pros and cons—plus market-specific insight for Reno.
Leasing Industrial Space: The Flexible Choice
Pros:
Lower upfront cost (no large down payment)
Easier to relocate as your business scales
Landlord handles most maintenance and repairs
Rent is tax deductible as a business expense
Cons:
Rent increases over time
No equity accumulation
Limited control over the space
When Leasing Makes Sense:
If your company is growing fast, unsure about long-term space needs or wants to preserve capital for operations, leasing is typically the smarter move—especially in a high-demand market like Reno.
Buying Industrial Space: The Long Game
Pros:
Fixed mortgage costs (in most cases)
Builds long-term equity
You control the property
Potential tax advantages and depreciation benefits
Cons:
Large upfront investment
Maintenance costs are your responsibility
Harder to scale or relocate
When Buying Works Well:
Buying may make sense if your operations are stable, your business is cash-rich, and you plan to stay in the space for 7–10+ years. Many local businesses in the Reno-Sparks area are finding value in smaller owner-user buildings—especially in submarkets like Fernley or Spanish Springs.
Need Help Deciding? Let’s Run the Numbers
Still unsure which path makes sense? The decision to lease or buy can—and should—be tied to your long-term business goals. I offer tailored guidance, deal structuring support and free tools and resources to help you model both options. Explore more resources on renoIndustrial.com or contact me directly for a one-on-one strategy session. Whether you’re buying, leasing or still deciding, I’m here to help you move forward with confidence.
