Market Trends
- Vacancy rates have seen an uptick, increasing by 100 basis points year-over-year to reach 7.1%. However, this rate has shown stability compared to the last quarter. The consistent surge in market deliveries likely contributes to this elevated vacancy.
- Of the 11.5 million square feet (msf)currently under development, approximately 7.0 msf is allocated for speculative projects, while 4.4 msf is dedicated to build-to-suit ventures. The industry persists in its robust trajectory with further projects initiating and entering the market.
- South Denver's industrial submarket has a leading vacancy rate of 14.6%, whereas West Denver boasts a low 1.0%. Central Denver's asking rate is at a premium of $11.93 per square foot(psf), while East Denver is more economical at $8.00 psf.