Win a trip for 2 to Mexico!
Rents in the Denver area are increasing at the ninth-highest annual growth rate in the nation, according to Axiometrics, a Dallas-based research firm.
But the firm also reports one part of the market, downtown Denver, is weakening.
In fact, downtown rents are falling for the first time in years. In April, the average growth rate over the previous 12 months was .6 percent. That's compared to an annual growth rate in April 2013 of 4.8 percent.
Axiometrics analyst Stephanie McCleskey blames an increasing supply.
"There is a lot of new construction for multi-family housing in downtown Denver," McCleskey says. "In 2013 we saw about 1,500 units come online, and then for 2014 we’re expecting twice that."
The rental market in the Denver area withstood the recession in better shape than many other areas with above-average rental growth since late 2010. Axiometrics says as of April of this year, the annual growth rate is 8 percent.
Occupancy rates in the Denver area have increased about half of a percentage point on an annual basis in April to 95.85 percent.
McClesky says an influx of millennials and above-average job growth in recent years are contributing to the health of the overall Denver rental market.
You want to know what is really going on these days, especially in Colorado. We can help you keep up. The Lookout is a free, daily email newsletter with news and happenings from all over Colorado. Sign up here and we will see you in the morning!
It takes a good day’s drive to cover Colorado, but we’ll help you do it in a few minutes. Our newsletters bring you a closer look at the stories that affect you and the music that inspires you.
Colorado Postcards are snapshots of our colorful state in sound. They give brief insights into our people and places, our flora and fauna, and our past and present, from every corner of Colorado. Listen now.