The Downtown Denver Partnership issued its 2016 State of Downtown Denver report. The annual report, funded in part by the Downtown Denver Business Improvement District, details increasing investment, strong office market fundamentals, a growing and highly-educated workforce and residential population in downtown Denver.
“Our center city’s strong economy and dynamic energy creates a place where people want to live and work, and as a result, it’s a place where companies want to locate,” said Tami Door, president and CEO of the Downtown Denver Partnership. “Downtown Denver is a model for what a great city can be as a result of our collective strategic, place-based economic development strategy and the long-term vision and commitment of public and private-sector leaders.”
The report noted:
Development and Investment
Developers are responding to increased demand propelled by a strong population and job growth, as well as key public-sector investments. $2.5 billion of investment is under construction or planned for downtown Denver, on top of more than $634 million of investment in 2015 that included 15 projects to create an additional 511 hotel rooms, 1,901 residential units and 333,000 square feet of office space.
Office Market and Employers
Downtown Denver is an ideal place to start or grow a business. In the past 24 months, 24 companies have relocated or expanded, and office market fundamentals remain strong with a 9.5 percent direct vacancy rate and $33.14 per square foot direct average lease rate. As of the beginning of 2016, an additional 2.8 million sf of office space was planned or under construction.
Workforce
More people are working in downtown Denver than ever before, totaling 123,548 at the end of 2015. Employment has increased 13.2 percent since 2010, surpassing the nation-wide increase of 8.5 percent. Denver is also the seventh most educated metro area in the country, with more than 40 percent of Denver metro area residents earning a bachelor’s degree or higher.
Students and universities
54,000 students attend public, not-for-profit institutions of higher education in downtown Denver and more than 10,000 students attend trade or private institutions. The Auraria Higher Education Center continues to see growth and investment to help ensure businesses are able to recruit qualified employees, with new facilities including an aerospace and engineering sciences building at Metropolitan State University of Denver, and an advanced manufacturing center at the Community College of Denver.
Residents
Ranked as the top place to live in the U.S. by U.S. News & World Report, 75,972 people live in downtown Denver. Attracted to vibrant walkable districts and diverse residential amenities, this number is expected to grow by 12.6 percent over the next five years, compared to 3.7 percent nationally.
Retail and restaurants
First-to-market and new-to-downtown options create a diverse retail scene, including the second no-coastal location for Uniqlo, which will open a 23,000-sf flagship store later this year. 53 percent of businesses along the 16th Street Mall are local businesses or local chains contributing to the $45 million in retail sales tax collections generated in downtown Denver in 2015.
Mobility
Multimodal transportation options converge in downtown Denver, where nearly 60 percent of downtown Denver employees commute to work via transit, walk, bike or ride share. 21 percent of downtown Denver residents don’t own a car.
Public Space and activation
Downtown Denver’s parks and public spaces are an economic asset for the community and help transform an individual’s experience in the center city. In 2015, public spaces were activated for a collective total of 749 days. Events like Meet in the Street, produced by the Downtown Denver Partnership and funded by the Downtown Denver Business Improvement District, resulted in 30 percent more pedestrian traffic on the mall, and 60 percent of people spending more time in the space.
Tourism and attractions
More than 15 million people, including one million conference attendees to the Colorado Convention Center, visit the city each year and spend a total of $4.6 billion. Downtown Denver’s 32 hotels also experience high occupancy rates, and with four new hotels planned.
For more information and to view the complete 2016 State of Downtown Denver report, visit www.downtowndenver.com.
