Denver Office Market
While downsizes continued to offset the growth of other tenants, a corner may have been turned this year as three of the five largest new vacancies have already been leased by new tenants that will occupy in 2025. Two new buildings completed in the fourth quarter: the 55,000 SF Mortenson build-to-suit in Downtown that is expected to be occupied next quarter, and the 41,000 SF office building at 12120 Quantum Parkways in the Northwest submarket. Class A asking rates nudged up the market median from the prior quarter as tenants continue to look for high quality over cheaper rents.
Download Denver Office Market Report 4Q24Denver Industrial Market
Closing the year, quarterly absorption recorded a healthy 1.1M SF and annual absorption to 2.9M SF. Vacancy decreased from the prior quarter again to 9.1%, indicative of the slowing speculative pipeline, and only increased year-over-year by 72 basis points. Leasing activity decreased slightly from the previous quarter but was still higher than either of the first two quarters of 2024.
Download Denver Industrial Market Report 4Q24