It’s been a tough summer on the downtown condo market, but how long will this be the case? For the past 4 weeks we have been tracking inventory and condos for sale, specifically in the 80202 zip code, along price reductions among those units that are currently on the market.
HERE’S WHAT WE KNOW ABOUT 80202:
- We currently have approximately 185 condos on the market, which is up 75.5% from a year ago.
- Our supply sits at 8.1 months. Remember, anything under 6 months is considered a “seller’s market” and anything over 6 months is considered a “buyer’s market.” This is up 62% from a year ago.
- Of the 185 condos currently on the market, 53 condos have reduced their prices in the past 4 weeks, up to 14.42%.
- If a condo can rent for $2,500 or less, property managers and owners are telling us they are leasing almost immediately.
We have a detailed list of these condos and would love the opportunity to discuss ideas and strategies with you.
WHY IS THE DOWNTOWN MARKET SO DIFFERENT THAN THE SUBURBS
We have interviewed local residents, business owners, leaders and non-profits to try to understand what is happening downtown. Here are some of the take-aways from those meetings:
- People are still uncomfortable with the protestors.
- Residents who live in condos generally choose this type of living because of the location of the condo and the lifestyle it provides such as vicinity to work, amenities, entertainment and restaurants. Covid is still interrupting this lifestyle.
- Concerns about the homeless camps and why initiative 300, from 2019, is not being upheld.
HERE’S WHAT WE KNOW ABOUT THESE IMPORTANT TOPICS
- Businesses are not only still moving here from places like San Francisco and New York, but those that are already here are expanding. When you hear “people are fleeing the cities and moving to the suburbs and country,” well, WE are the suburbs and country to those larger cities and their residents. Like past downturns, we are seeing this migration. 60% of new residents have come from outside of Denver while 40% remain locals from our own back yard.
- Just this week, a judge ruled the camping ban (initiative 300) as constitutional. Because we have available beds for each homeless person in Denver, they are offered these resources, but if they refuse such help, they will be ticketed and asked to move, moving forward. Read more from Denver Business Journal.
- Many aren’t aware that the Denver Rescue Mission’s Lawrence Street location has been closed during Covid, but is reopening in the next few weeks. If you are looking for a way to volunteer, they sure could use our help and donations. Learn more about the Denver Rescue Mission and all they do for our great city.
- Denver continues to slowly make efforts to re-open places like sports venues and museums with continued focus on expanded seating options for restaurants to be able to function at a higher capacity.
- Businesses are safely opening their offices downtown. IMA is a great example. The majority of their team has come back to the office at Union Station. “A ‘return-to-work team’ recreated the office space to keep people safe from coronavirus, installing sneeze guards and limiting elevators to two people at a time. Every employee must log into a COVID-19 health-checker app — created in house — to log their temperature and answer questions about potential symptoms.” ~ The Colorado Sun
- Denver continues to be committed to investing in the infrastructure and the neighborhoods of downtown. Look what they did with Union Station! There’s much more to come. You may find these reports from the Downtown Denver Partnership interesting. Read more.
- Another great read comes from the Colorado Sun, August 31st. Downtown Denver is starving for people. When will they come back?
It is our commitment to stay up to speed with everything happening in downtown Denver. We are lucky to live in such an incredible city with opportunities like the ones we find in Denver. The more we know, the better resource we can be to our clients who live downtown or want to make it their home.
We hope you enjoyed this information. You can follow us on social media for live updates, but we’ll send the information by newsletter again in a couple of weeks.
You can also learn more about us here and search condos on your own, if you don’t want our help right now. Enjoy your day!
Lori Greenly – Founder