ECONOMY
Statistics , Insights and Strategies for the Denver Metro Area Market
As AAMD ’ s first major event of 2025 , the EconXchange conference brought together over 350 members , industry experts , and economists for a day of networking and insights into navigating the challenges of the evolving economic landscape . Attendees received a full vacancy and rent report , which included the a plethora of data and statistics .
Here are some of the Metro Denver highlights & statistics from 2024 and specifically the fourth quarter :
• Nearly 20,000 new apartment homes were completed in 2024 , which is an all time record . Total apartment homes in the Metro Denver area now are 434,465 units .
• These new units came from approximately 90 new apartment communities from Boulder to Castle Rock , with about half of them built in the city of Denver .
• Nearly 70 different Developers completed at least one project in 2024 and on average the total construction time was 2.5 years .
• The average size of community built in 2024 was 222 units
• 2024 Rent levels had their largest single quarter drop ever from 3rd to 4th Quarters , where average monthly rent dropped by $ 69 ! The new record levels of supply in 2024 kept rents in check all year long , as they fell 1.5 % for the year .
• Current average rent ( Q4 ) is now $ 1,842 ; avg rent per square foot is $ 2.14 . Median rent is down to $ 1,750 – which is $ 13 lower than 2 years ago !
• Vacancies were pushed to their highest levels in 15 years- to now 6.9 % of the market , leaving nearly 30,000 apartments vacant in the 4th quarter .
• Vacancy increased market wide in ALL 33 submarkets studied . Studio apartments have the highest vacancies of the unit types , and the newest built construction has the highest vacancies of all the age groups .
• While absorption was + 12,536 units for the year , the 4th Quarter had negative 4,862 absorption , which is a 22 year low for absorption .
Economic Conference Chair LaSarha Swanson of Highmark Residential and Vice-Chair Kelly Larson of Asset Living presided over this day-long event , which highlighted the importance of networking along with its economic updates .
The day began with a lively business-to-business exchange event , where supplier partners were able to meet one-on-one with decision makers from many Denver-area property management companies and communities . This morning session provided a valuable platform for networking , fostering connections , and exploring innovative solutions for the multifamily housing industry .
As the first speaker of the afternoon Economic Conference presentations , rental market economist Jay Parsons presented a comprehensive analysis of Denver ’ s real estate market , and how it compares to the national scene . While Denver is experiencing a 50-year high in apartment completions which has pushed rents downwards , athis has presented a challenging growth
JAY PARSONS
DJ SUMMERS
NOLAN GRAY www . aamdhq . org 27 | TRENDS FEBRUARY 2025