Many recent commercial real estate reports that rank the top markets in the United States have put Denver near the top. Well, a recent Coldwell Banker Commercial report on the country’s top commercial real estate markets puts the Mile-High City firmly at the top of the peak.
Looking at statistics from last year, several criteria influenced the brokerage firm’s ranking. But first and foremost was that it was rated the highest compared to other metro areas for its strong job market. A Colorado Department of Labor and Employment statement backs this up, saying that in December unemployment was at four percent, the first time it was that low since 2007.
Compared to other areas, it was also ranked fourth in retail strength and eighth in office, with new construction taking off in both areas.
This sentiment reinforces what GRS | Corteq’s Jeff Coyne said back in May of last year, when he broke down the Denver commercial real estate market, specifically talking about spec office construction near the city’s revitalized Denver Union Station area. He said: “Denver is certainly being looked at as an top tier investment market, more so than it probably has been in a very long time.” Turns out he was right.
Meanwhile, rounding off the top five, in order, are San Francisco, Houston, Dallas and the Silicon Valley, specifically San Jose, Calif. There aren’t many surprises there, with the technology and energy industries both booming and creating jobs.
Kevin May of GRS | Corteq expressed his sentiments clearly about the San Francisco office market late last year when he said it is in the running with the pace of Manhattan.
Denver is a surprise, though. The year before, it ranked tenth on Coldwell’s list.
Are there any markets that you think are being overlooked for their strong commercial real estate attributes?