Millennial Migration Bodes Well For Commercial Real Estate In Denver 2015
According to the President’s Council of Economic Advisers (CEA)’s report “15 Economic Facts About Millennials,” the millennial generation, those born between 1982 and 1993, will shape the nation’s economy “for decades to come.” Currently, this segment is 80 million strong and accounts for approximately one-third of the U.S. population and is predicted to positively impact Denver commercial real estate investment in 2015. As they continue to mature, Millennials will be instrumental in the overall economic stability in the areas where they choose to live, work and play.
Denver Makes the Top 10
Realtors in the Mile High City should rejoice since a recent National Association of Realtors (NAR) report, “Best Purchase Markets for Millennial Homebuyers,” rated Denver in the top 10 out of 100 metropolitan areas reviewed that are projected to experience a gain in Millennial home buying in 2015. Denver scored well for unemployment, job creation, housing inventory, home prices and rental yields, key factors that determine a population’s propensity to migrate to an area.
“NAR research finds that there are other metro areas Millennials are moving to where job growth is strong and homeownership is more attainable. These markets are well-positioned to soon experience a rise in first-time buyers as the economy improves,” said NAR’s chief economist, Lawrence Yun.
Denver to Ride the Growth Wave of the Millennial Migration
According to the NAR report, home purchases among young adults under age 35 peaked in 2005, before declining to 36 percent in the first quarter of 2014. This decline was attributed to limited job prospects, flat wage growth and tight credit conditions that priced many Millennials out of larger cities such San Francisco and New York. Their loss is Denver’s gain, as the city and its commercial properties will benefit from Millennials’ altruistic, intellectual and financial assets as they find a warm welcome, homes and jobs in the Mile High City.
How to Use This Information
As the Denver commercial real estate base follows an upward trajectory in response to the influx of the millennial generation, the Advisors at Capital Realty Group are also poised to help your organization find space that will fit your company’s growing needs. Please give us a call at 303-573-0377 or contact us online to let us know how we can be of service.
How is your company preparing to grow in 2015?
Categorized in: Denver Real Estate News
This post was written by Capital Realty