High Sierra Lanes Entertainment
For Sale
Contact for pricing
3390 S Virginia St, Reno, NV 89502
Established entertainment center with bowling, arcade, and gambling machines.
Property Size24,289 SF
Price / SF$247.03
Days on Market400
Property Features for 3390 S Virginia St
General Information
Standard status
Active
Size
24,289 SF
Class
B
Property subtype
Retail, Multifamily, Mixed Use, Land, Special Purpose
Zoning
MUSV
Lease Type
Absolute Net
Net Operating Income
$360,000
Building Details
Year Built
1958
Year Renovated
1965
Buildings
1
Stories
1
Units
1
Tenancy
Single
Listing Agency:
Johnson Group Commercial
(775) 232-8551
Listed By:
RYAN JOHNSON · License #NV BS1707
Source:
Crexi
Added: Jul 8, 2025
Changed: Aug 8
Last Checked: May 19 at 10:31PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Johnson Group Commercial
Investment Insights
Based on property information with market context.
This property, located on the South Virginia corridor between the Peppermill and Atlantis hotels and casinos, presents an opportunity for an investor or owner-user. High Sierra Lanes, an established business of over twenty years, features a family entertainment center with 24 bowling lanes, 15 gambling machines, an arcade, a full-service snack bar, a pro shop, and an embroidery shop. The business benefits from a consistent customer base of over 2000 league bowlers, with leagues operating six nights a week. Black light bowling events are hosted on Friday and Saturday nights with a DJ. The center is a popular venue for holiday parties and business gatherings. The owner is willing to provide training to a new owner or manager. The business employs seven full-time and approximately 13 part-time employees. The property is located approximately a 1/2 mile away from the emerging development of Park Lane. The property may be suitable for redevelopment into apartments or a mixed-use project. The property size is 24289 square feet.
Key Highlights
- Substantial Net Operating Income (NOI): $285,000 in 2021, trending towards $343,000 in 2022.
- Prime Location: Situated on the South Virginia corridor between the Peppermill and Atlantis Hotel and Casinos.
- Established Business: High Sierra Lanes has been in operation for over 20 years with a consistent cash flow.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$307,357
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.12%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$6,147,140
$6.1M
Cap Rate 7%
$4,390,814
$4.4M
Cap Rate 9%
$3,415,078
$3.4M
Market Conditions
NOI Build-Up for 24,289 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$480.9K $19.80/SF
− Vacancy
−$41.8K −$1.72/SF
EGI
$439.1K $18.08/SF
− OpEx
−$131.7K −$5.42/SF
NOI
$307.4K $12.65/SF
Area
Reno, NV
Vacancy
8.70%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$6,147,140
Cap Rate 7%
$4,390,814
Cap Rate 9%
$3,415,078
Alternative Uses
Best Use
Retail
$4.39M
$3.84M – $5.12M
NOI $307,357 @ 7.0% cap · market cap 5.12%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$7.49M
$6.55M – $8.73M
NOI $523,990 @ 7.0% cap · market cap 8.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,847
Businesses Nearby
Explore this area
Business Placement
Demographics for 89502, NV
47,062
Population
20,781
Households
2.3
Avg Household Size
36
Median Age
19%
College-Educated
80%
High-School Grad
21.5 sq mi
ZIP Area
2,189
Density / Sq Mi
$62,719
Median Household Income
$36,796
Median Earnings
$1,243
Median Rent
$389,200
Median Home Value
Market
Vacancy Rate% for Retail in Reno, NV
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Bowling alley - Established entertainment center with bowling, arcade, and gambling machines.
Where is this bowling alley located?
The property is located at 3390 S Virginia St Reno, NV.
What is the asking price?
The asking price for this property is $6,000,000.
What are key features of this property?
This property features: Substantial Net Operating Income (NOI): $285,000 in 2021, trending towards $343,000 in 2022.; Prime Location: Situated on the South Virginia corridor between the Peppermill and Atlantis Hotel and Casinos.; Established Business: High Sierra Lanes has been in operation for over 20 years with a consistent cash flow.
