CBRE Sees Optimistic Signs for SE Corridor

DENVER-The South Denver Office team of CB Richard Ellis sees some signs of optimism along the southeast Denver corridor, the largest office submarket in the Denver metro area. The team is comprised of SVPs Sergio Castaneda and John Marold, and VPs Mitch Bradley and Lang Williams.

The team is tracking three key indicators that all are bullish. The first is that the projected 12-month gross leasing activity in 2003 is up 32% to 1.54 million sf, from 1.17 million sf in 2002.

The second is the projected 12-month gross absorption, which is even stronger, improving by 50% to 683,649 sf, from 456,649 sf in 2002.

Finally, the actual amount of sublease sf in the market dropped by 28% to 1.4 million sf from 1.87 million sf.

“With the improving U.S. economy, the southeast market will perform better than the recent past over the next two to three years,” according to the CB Richard Ellis report. “However, we project the pace of improvement to be a crawl rather than a sprint.”The team completed seven deals in November for a total of 23,173 sf. The biggest deal was for 7,173 sf for Golden Star Resources at the Jefferson Corp. Center. The smallest deal was 1,537 sf for Precis Communications at Jefferson Corporate Center.

In the first 11 months of the year, the team completed 156 deals for a total of 1.2 million sf.