Denver industrial space, the hub for the central Mountain West.
Denver is a regional distribution market with a large, growing consumer base of its own and limited competition from neighboring metros. Vacancy has drifted up, absorption has been thin, and the construction pipeline is modest. That is a reasonable set of conditions for a tenant.
Where the leverage sits right now.
Direct vacancy of 8.3 percent, up 30 basis points in the quarter, with net absorption of only 55,000 square feet. The market is close to flat. Landlords competing for the few active requirements are the ones offering free rent and improvement dollars, especially on speculative product delivered in the past two years.
Rents rose 1.8 percent year over year, which is below inflation. Face rates are holding while effective rents soften. Negotiate the whole package, not the rate.
Denver's reach is a two-day story. One-day ground covers under five percent of the US population, but two-day reaches 47 percent, from Texas to Chicago to Salt Lake. It is a strong central node for a two or three building network and a weak single-site solution for the coasts.
What the major brokerages report.
Each firm tracks a slightly different building set, and in some markets a different metric, so the figures differ. We show all of them rather than average them, because an average of three different definitions describes nothing. Where the spread matters to a negotiation, we say so above.
| Firm | Quarter | Vacancy | Asking rent | Net absorption | Under construction |
|---|---|---|---|---|---|
| CBRE cbre.com | Q2 2026 | 8.3% direct | Up 1.8% year over year; no level published | +55,000 sq. ft. | 662,000 sq. ft. broke ground in the quarter across three projects |
Reach, infrastructure, and labor.
Share of the US population within 450 road-equivalent miles (one-day ground) and 1,000 miles (two-day ground) of the market center, computed against population-weighted centroids of all 3,125 US counties (2020 Census). Bands approximate FedEx and UPS Ground zone tables within roughly 10 percent and are for comparing markets, not quoting transit times.
Sources: ofis.trade.gov
Where the buildings are.
Along I-70 and E-470 toward Denver International. The largest buildings and most of the speculative construction of the past cycle.
Aurora and Commerce City east of I-225. Mid-size distribution and manufacturing with good access to both the airport and the urban core.
Older infill industrial north and west of downtown. Smaller buildings, tight vacancy, and the best access to Denver's labor.
Broomfield, Westminster and Thornton toward Boulder. Flex and light manufacturing, with aerospace and technology suppliers.
Centennial, Inverness and the Arapahoe County corridor. Flex and service industrial serving the south metro.
The operations that choose Denver.
We represent tenants and buyers only. No landlord listings in Denver, so every building in the market is a candidate and every negotiation is on your side of the table. See the operations we serve.
Evaluating Denver?
Tell us the size, timing, and operation. We will come back with a curated shortlist and a read on where the leverage is in this market right now.