There's a lot of new office space available in Denver, and much of it is already pre-leased. According to a recent report, investors and business owners are hungrier than ever for new office space in the city.
According to the Vice Chairman of the real estate firm CBRE Capital Markets, there is a high demand to lease new office space in Colorado. In fact, the Vice Chairman said that leasing rates are historically high for new buildings and investors are ready to put money into new projects.
Part of the reason for the boost in office real estate rental has to do with Colorado's low unemployment rate -- which is currently at 2.3 percent. This has created competition for good workers, and companies are looking for new office space where they can house those workers while they're on the job.
The growing tech industry is also contributing to the office real estate boom. Previously, Denver's economy relied heavily on oil and gas. Now it's moving more and more into the tech sector -- and it's creating a battle for good real estate. The owners of office buildings from the 1970s and 1980s who have failed to revamp their properties are seeing a drop in interest, as tech companies prefer the latest in newly constructed spaces.
If you're looking to rent office space in Denver -- or if you're a real estate investor hoping to fill your office space with leasing opportunities -- you may want to discuss your plans with a local attorney. An experienced Denver-area real estate lawyer can assist you with all your business real estate needs.
Source: Colorado Real Estate Journal, "New office product in demand in Denver metro market," Jill Jamieson-Nichols, Oct. 16, 2017