Elon Musk is a name that is strongly associated with transportation, technology, smart innovation and futuristic ideas that seem extremely far-fetched – until they became a reality. The serial entrepreneur brought us the Tesla electric car and developed the rocket company SpaceX, now he’s planning on creating underground commercial transportation tunnels via his tunneling business, The Boring Company. There have already been test environments completed and the goal of these tunnel transportation systems is to transport the public from one place to another at speeds between 155 and 600 miles per hour. If these tunnels are successfully completed and executed it could make a really big difference in large, congested cities and could strongly reinvigorate public transportation, which will help residents explore job opportunities outside of their home base.
The Boring Company has already begun construction on what will be known as the Las Vegas Convention Center (LVCC) Loop, which would feature autonomous electric vehicles that move people to and from locations in passenger pods that will travel at 155 miles per hour or more. There are many other loops in development in cities like Chicago and on the East Coast. Currently, there is another test tunnel located in Hawthorne, CA where the Boring Company is running tests and research as they plan the development for the Las Vegas project. This test tunnel, known as a Hyperloop will be designated for farther, longer trips and is slated to travel at 600 plus miles per hour. Fares to ride the loop have not been finalized but are expected to be comparable to, or lower than, current public transportation fares for pedestrians.
So how would something like this affect the real estate prices in Las Vegas? It’s really innovative, and it will be an attraction all on its own, in fact if this tunnel becomes a reality it could really increase tourism and traffic in between the two cities. A tunnel connecting Los Angeles and Las Vegas wouldn’t happen for a while, especially since The Boring Company is still in the initial stages of testing out the technology, but if and when it does exist it would be a game changer for transportation.
Currently, driving from Las Vegas to Los Angeles in normal traffic conditions would take approximately four to five hours. A flight between the two cities, not taking into consideration the fact that you need to show up two hours before your departure time, is approximately an hour and a half. If the Boring Company’s Tunnel is able to achieve a quick commute between the two cities at a reasonable fare, it’s safe to say that Las Vegas may see an influx of California transplants looking to buy real estate while holding on to their Los Angeles careers. High demand, combined with strong competition will easily drive up prices of Las Vegas real estate, turning it into a strong seller’s market, which fill further increase the value of homes for sale in Las Vegas.
Current market predictions for 2020 expect that Las Vegas will outperform the national average in home-value growth since there is a steady source of homebuyers both locally and from outside states who are driving home sales. The Federal Reserve also left interest rates unchanged at the end of 2019, and as long as they remain low this will encourage additional potential buyers to take a leap into homeownership. The most important factors that drive home sales and real estate prices are economy driven, and a tunnel that connects Las Vegas to Los Angeles will strongly impact the Las Vegas real estate market, because it will open up countless opportunities for residents of both cities. Las Vegas residents will be able to explore additional job opportunities and lucrative career changes, while Los Angeles residents will be able to indulge in incredible, luxury homes at prices that are unheard of in the California markets.
Las Vegas is home to incredible neighborhoods and gated communities where interested buyers can find unique homes for sale ranging in size, price and amenities offered. Whether you are interested in an expansive custom-built mansion overlooking the World-Famous Las Vegas Strip, or a quaint and comfortable home tucked into a quiet cul-de-sac, with the help of our experienced team you are sure to find exactly what you’re looking for. For more information on current listings, market trends and insights or to inquire about any additional questions you may have, please contact us, or visit our website.