Ascent partners Scott Seegmiller and Mike Ballard were in Denver for BisNow’s Denver Multifamily & Mixed Use event. The standing room only crowd of almost 400 people came to learn about the Mile High City’s hot projects and real estate trends.
Mike moderated a lively discussion entitled 2017 Capital Markets Forecast. Speakers included Ken Cope, CIO of Sagebrush; Charlie Williams, SVP of Key Bank and Ralph Lowen, SVP of Walker & Dunlop. The panel discussed how the new president and new economy will impact the Denver multifamily industry.
The general feeling from the event was that the rapid acceleration of Denver’s multifamily market seems to be cooling. The outliook is still positive and the feeling is that the growth is sustainable.
Before diving into what experts are saying, here are some current multifamily statistics from the Denver Business Journal to keep in mind for the seven-county Denver metro area:
- 9,800 units were completed in 2016.
- 25,382 units in 112 properties are under construction, as of the end of January.
- 26,884 units are proposed in projects as of the end of January.
- 52,266 units are in the total pipeline (units under construction plus proposed).
Some of the major themes from the event are:
The development of affordable housing in Denver will become increasingly difficult over the next couple of years due to a number of factors. The is a big need and no solution on the near horizon.
Denver is a major magnet when it comes to new population and it is going to continue. The jobs and quality of life are major draws.
Denver’s light rail has spurred Transit Oriented Development. The airport is a significant economic engine for the entre region. With the rail connection now, people are starting to realize this is the next quadrant of opportunity.