Denver Retail Market Report
Population Trends Bolster Denver’s Retail Outlook;
Headwinds Countered by Limited Development
Rental dynamics spur nearby tenant demand. The residential corridors of Aurora and Northwest Denver each recorded 5-plus percent growth in occupied apartment stock between 2019 and the midpoint of 2023. A population-induced boost to retailer performance helped compress each submarket’s vacancy rate more than 230 basis points in that span. While much of this dynamic came from renters’ preferences realigning, Denver’s growth outlook is also influential. In 2023, net in-migration achieves a seven-year high, prompting household formation to exhibit its largest total since 2019. Many transplants are finding well-paying jobs, with the metro’s median household income rising 8.1 percent over the yearlong period ending in September, an all-time high. The increasing affluence of Denver’s residents adds another tailwind for its retail sector.