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Long before the nation’s housing market crumbled and took the rest of economy with it, the furniture industry was fighting its own recession.

Declining demand for new furniture had corporations fighting for their lives, sending jobs overseas or closing outright.

Four years ago, the High Point Market began fighting another foe: Las Vegas Market, a potent one-stop furniture market that declared its goal to be No. 1.

But many in the industry who gave Las Vegas a fighting chance in better times are now more skeptical. Some suggest that Las Vegas Market is not only losing tenants but that World Market Center, the massive convention complex that houses the market, is not faring so well.

Las Vegas’ decision to schedule its September market head-to-head with a smaller component of High Point’s is forcing a showdown, possibly as a make-or-break test for the Vegas market’s longterm viability.

“I don’t think anyone at the city is looking at it as a pass-fail,” however, said Bill Arent, the acting director of the Las Vegas Office of Business Development.

Powerful industry insiders say World Market Center’s finances are changing, however. Some tenants are breaking their five-year leases because they can’t afford to keep showrooms at both markets.

Others are asking for year-to-year leases so they aren’t locked in — which is counter to the policies the center set up initially.

Some exhibitors are complaining World Market Center is “giving space away” to new tenants and that is a sign of shaky finances.

But even with those challenges, said one executive close to Las Vegas’ management, the market will stay strong.

The lower lease costs, for example, have a simple explanation, said Arent, who keeps a close watch on the market’s health.

“It’s probably a misunderstanding in the marketplace over what first-time vendors are able to get on a one-market basis,” said Arent. “We don’t hear complaints from vendors calling the city on terms there. We do think that the developer and the owner are financially strong.”

One furniture executive was blunt, however, saying costs are so high in Las Vegas that it remains nearly impossible to earn enough business to justify the expense. And during the past year, several companies have chosen to show only in High Point.

Arent keeps track of the city’s incentives paid to World Market Center — a program called tax increment financing — which rebates 41 percent of the center’s yearly property tax for up to 20 years.

World Market Center has put a fourth building on hold, Arent said, but that shouldn’t hurt the company because it opened the other three ahead of its predicted schedule of one every 18 months.

Delaying the start of that building was a good financial decision, furniture experts agree.

Questions remain, however, whether Las Vegas’ decision to reschedule its fall market dates was an equally good choice.

Both High Point and Las Vegas offer two markets a year. High Point shows in April and October. Las Vegas initially opened in February and July. But later this year, its second market will coincide with a very important small show in High Point.

Called “Pre-Market”, the local event was once an informal way for some of the largest manufacturers to show products early to big buyers. Now a more structured affair, the event is where these manufacturers debut their newest products.

This year, they’ve agreed to show the new products only in High Point and not in Las Vegas, which is a significant statement, said one executive.

Kevin O’Connor, chief executive officer of Samson Marketing and chairman of the High Point Market Authority, said the 25 exhibitors who have signed up to show new lines at Pre-Market make a strong statement in favor of High Point, even those who show furniture at both markets.

Buyers will be apt to follow, he said.

“Clearly the majority of retailers are going to make a choice and not go to both,” he said. Given what he calls the breadth and depth of the market here, “High Point is the choice of the majority.”

Contact Richard M. Barron at 373-7371 or richard.barron@news-record.com