Downtown Denver Office Space a Hot Commodity

A highly regarded commercial real estate brokerage company, Frederick Ross CO., reports that downtown Denver office space is being leased at a record pace.  Healthy gains are also being reported in the rest of the metro area and investment sales have flourished.  Downtown vacancy rates have dropped from 16.1% at the end of 2005 to the current 12.8 percent.  The office market in southeast Denver recorded impressive gains with 1.27 million square feet of office space being absorbed in 2006.  These figures represent the largest amount of Denver submarket square footage absorption since 1987.  The northwest Denver submarket was hardest hit by the post 9/11 economic downturn.  Vacancies in that market dropped from 34.45% at the end of 2005 to the current 18.9%.  This is unprecedented. 

TeamCox studies these figures so that we are in a position to accurately advise our clients of the Denver economic picture.  These year-end reports indicate an unfailing investor confidence in real estate as a desirable asset.  This information coupled with other key criteria such as an improving employment picture and an increase in Denver wages all lead us to believe that Denver has now moved beyond the recovery mode of the past five years and has firmly entered into a significant growth stage.

Could there be a better time to invest in Denver?  TeamCox thinks probably not!

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