Uptick Seen in Office Tenant Interest

DENVER-There are currently 113 active tenants seeking 1.37 million sf of office space along the Denver area south office corridor, according to a new report by CB Richard Ellis’ South Denver office team. The report by Sergio Castaneda, John Marold, Mitch Bradley and Lang Williams, shows there’s a 20% increase in active tenants since Nov. 1.

Of the 1.37 million sf of space they are seeking, 630,000 sf represents net absorption.

The report shows there are two tenants seeking more than 75,000 sf each for a total of 240,000 sf. Another two tenants are seeking between 50,000 sf and 74,999 sf, for a total of 120,000 sf.

The other active tenants, all of whom plan to occupy office space within the next year, breaks down this way:

* 13 tenants seeking 25,000 to 49,999 sf for a total of 415,000 sf.

* 18 tenants seeking 10,000 to 24,99 sf for a total of 264,500 sf.

* 33 tenants seeking 5,000 sf to 9,999 sf for a total of 204,442 sf.

* And 45 tenants seeking 5,000 sf or less, for a total of 125,415 sf.

“As we move into 2003, the key question for the market is, will the demand of these companies exceed the increase in supply resulting from additional layoffs, office closings, and any bankruptcies?” the reports asks.

Only time will tell.