The Denver industrial market continues to grow. Average industrial asking rates closed the quarter at the highest figure on record for the third consecutive quarter. Tenant demand remains steady as the pipeline continues to deliver new product at a rapid clip. The Denver industrial market is set to finish the year strong.
Denver’s office market has faced ongoing difficulties in 2023, with high vacancy rates persisting. The significant increase in sublease options suggests that vacancies will continue to rise. While vacancy rates are climbing, so are asking rates, mainly due to the strong demand for modern Class A spaces. We expect to see companies encounter notable challenges before fully adopting a return to the office, as they grapple with the perceived drawbacks of hybrid work setups.
2023 Q3 Retail Report
The Denver retail market is experiencing a robust recovery from the pandemic with consistent quarterly growth. This quarter saw a significant rebound in net absorption, although it’s forecasted to slightly decline next quarter. Despite a surge in construction, deliveries hit their lowest since 2022 Q1. With rising asking rates and promising prospects for the remainder of 2023 and into 2024, Denver’s retail scene is poised for further growth.