A rebound in commercial real estate is giving a boost to the local economy, the Metro Denver Economic Development Corp. reported Tuesday in its monthly economic summary.
Overall, 11 of 18 economic indicators for metro Denver moved in a positive monthly direction in the July report, up from 10 in the previous report. Sixteen moved in a positive annual direction this month, the same as last month.
Vacancy rates for commercial real estate continued to fall in the second quarter and lease rates rose in many markets. Developers broke ground on several projects, including the Northwest Rail Line, Sundyne Corp.’s new manufacturing plant in Arvada and two Hampton Inn and Suites hotels.
Strong tourism spending has spurred additional hotel construction, the report said. Tourism visits hit a record last year for both Colorado and Denver. The state grabbed 2.7 percent of the nation’s travel spending, the first time that has happened since the 1990s.
Drought and a rash of wildfires, however, could make it more difficult to break last year’s records.