2018 Q4 Denver Multifamily Market Report

Download Research Report

At A Glance

 

Exceeding Expectations

The Front Range apartment market performed as expected with the slight seasonal increase in vacancy and decrease in absorption and rents in the fourth quarter. Metro Denver absorbed 204 fewer units this quarter than the fourth quarter of 2017. Despite this, all three markets experienced increases in average rent compared to last year. Metro Denver and the Northern Colorado market experienced rent increases of 4.4% year-over-year, while Colorado Springs experienced a year-over-year increase of 2.6%, respectively. Vacancy in Metro Denver decreased by 10 basis points from the last year; however the Colorado Springs and Northern Colorado markets experienced increases in vacancy of over 30 basis points. The uptick in vacancy is due to significant inventory expansion, as new deliveries continue to hit the market in order to meet ever-present demand throughout the Front Range.

     Q42018MultifamilyMarketIndicators 
 

Highlighted Trends

  • Absorption reached 758 units during the fourth quarter - down 204 units from Q4 2017.
  • The overall average rental rate in Metro Denver during the fourth quarter was $1,533 per month, an increase of 4.4 percent year-over-year.
  • A total of 19,820 units are under construction in Metro Denver, with more than 5,662 units located in the CBD.
  • Metro Denver vacancy rates decreased by 10 basis points from the previous year to the current rate of 5.1%.
   

 

Return


MultifamilyReportThumbnail251x197

2018 Q4 Denver Multifamily Market Report

Download Report