Searching for commercial retail property in Denver is an adventure that is filled with opportunity. But, enter with caution and prepare yourself ahead of time. It is complicated, difficult and dotted with hidden pitfalls. As such, adverse possibilities will lurk in unexpected places as you navigate the process. Therefore, prior to revealing how to locate retail property in Denver, it is important to recommend that you use a licensed commercial real-estate professional like Space Selectors to ensure the right path is followed. They will direct you and make sure you dot every “I” and cross every “T.” Also, they will guide you through the process with an expert eye you can trust.
Right now is a wonderful time to find and select your retail property in Denver based on economic and population growth alone. As an example, there was a six percent annual increase in the economy from 2018 to 2019. These rising sales are a reflection of Denver’s growing residential population, which was up 13 percent in 2019. Also, with Denver having such a strong draw for tourism, overnight visitors were up one percent from 2018 to 2019 as well. Finally, to present one more gain in 2019, the Denver restaurant industry grew by 4.8 percent and the lodging industry grew by 11 percent. These are the two largest industries in Denver.
The formula for picking the best retail property in Denver has many important factors to consider. As such, each factor must be evaluated meticulously using statistics and various research data. Keep in mind, choosing your retail property in Denver is your most important job when you prepare your business strategy. Therefore, if you know the saying “location, location, location,” you understand that location stands alone as being the upmost important factor when determining where to launch your business in Denver – it is more important than most people realize.
After reading through this article, do some research on your own to familiarize yourself with the area and the demographics. Then, complete a location analysis so you can compare notes with your commercial real estate broker. Although their analysis will probably appear more comprehensive, this step will help both of you to understand every facet of your unique business model. In essence, your search will be fully optimized and you will both be on the same page.
Since finding the right location for your retail property in Denver is your top priority, your due diligence is critical. Never forget that the success of your business depends on locating your ideal property in Denver. Therefore, continue reading to learn the most important questions and how to articulate them. Then, uncover Opportunity Zones and Denver core demographics. The information you learn below will help you succeed after you launch your business.
This question has many aspects to ponder. The intricacies involved with finding your target market are numerous. They are based on the demographics of your ideal customer and they require good data analysis. As such, you need to ask yourself two questions about where they live. First, what neighborhoods do your target customers inhabit? Next, where do you expect them to visit, and why. Finally, you should start to form a vision about the type of retail property in Denver you should choose. Ask yourself how you expect to draw in traffic. Also, ask yourself if they will arrive on foot, by car or via light rail. Please note that each of these factors affect the type of building and land you select.
Of course, if your company distributes products abroad, your clientele is not such an important factor. But, the right skilled labor force is very important, which leads to the next question…
Acquiring reliable employees who possess the right skills is a difficult undertaking indeed. You must confirm that potential candidates do in fact live near the property in Denver that your company will occupy. Finding quality local employees is your top goal, which is easier than relocating employees from another city or state. Therefore, do your homework and place some job ads ahead of time. This will allow you to confirm that you will find good candidates for employment.
Be sure to place ads for each of your anticipated job openings. That way, you will know just how difficult it will be to fill the positions after you occupy your retail property in Denver. Also, this will save you some time, as you may just find a few keepers in the process. Then, ask them where they live to get an idea about where your ideal employment candidates actually reside.
After you have found where your ideal customers reside, look closely at your potential competition. Start by finding all the companies that will compete with you in your desired area in Denver. Then, dive into the history of of each and learn as much about them as you can. Next, determine which ones have had long-term success, which companies are new, and which ones are failing. Lastly, measure their brand loyalty and study their business model. The more you know about who you will be up against, the better you will be able to compete. Make sure you truly know your competition.
One important factor to evaluate when you investigate your competition is how they may help you. To explain, they already have clientele that fits within your target market. That means, customers who buy what you will offer already travel to that specific region. Therefore, differentiate your brand, take a stand, and beat them at their own game.
Whether you are planning to launch a restaurant, set up an office space, or open a retail storefront, the type of business you will operate greatly affects the type of retail property in Denver you will choose. To explain, if you plan to set up an office space, which is the simplest type of property in Denver, make sure you do not pay for more features than you really need. Then, consider foot traffic and light rail access, signage placement, and supplier access, which are some of the most important items to consider. Finally, ensure you have adequate parking by selecting a location with enough land for the parking space required.
Speaking of parking, there are various parking considerations to accommodate both your customers and your staff. To begin, your business plan should detail the number of vehicles you expect during peak hours of operation. As such, you need to know your maximum expected capacity and the maximum number of employees that will be parked at your business. Then, add ten or twenty percent to be safe. Lastly, even if your customers will primarily arrive on foot, be sure to account for some vehicle parking for customers who prefer to drive to your location and for your employees.
Before deciding on a location, consider which neighborhoods are near your location options. The first consideration is safety. Make sure you decide on a safe and secure area for the safety of your employees, your clients, and your own safety. Then, class and economy are very important considerations. To elaborate, you would not put an expensive steak house near fast food restaurants and convenient stores, for example. Finally, pick an area near your target market based on demographics. Research where they live and where they go for their products and services.
Now that you’ve considered and evaluated the most important factors that affect your business location, sketch your ideal place or write some content about it to describe what you imagine for your property in Denver. You are the business owner with the vision for your company. Therefore, your own visualization is very important to consider. Just be sure to weigh your vision against the previously mentioned factors before making your final decision.
As part of the federal Tax Cuts and Jobs Act, which passed in 2017, Opportunity Zones were enacted to address unbalanced economic recovery and stagnant growth in specific areas around the country. To explain, this is a tax incentive for investment in low-income urban and rural communities. It allows for deferral, reduction, and possible elimination of certain federal capital gains taxes. That equates to a stimulus for private investors to build up distressed communities through private equity investments in commercial real estate and business ventures.
In Colorado, and especially in Denver, these Opportunity Zones have been very popular among commercial real estate investors. Although many of the Opportunity Zones reside in suburban and rural regions, there are 37 of them within the Denver metropolitan area. Furthermore, many of these Opportunity Zones are located in up-and-coming neighborhoods. Learn more about Opportunity Zones in Denver and throughout the state from Colorado’s Office of Economic Development and International Trade.
Regarding the type of clientele you can expect to find, Denver ranks very high for world-class demographics. To clarify, the United States Census Bureau ranked Colorado in 2016 as the second-most highly-educated state for residents with a bachelor’s degree or higher, 39.2 percent to be exact. Additionally, Colorado has the lowest obesity rate in the nation and is number one in the nation for physical activity. This information is presented in 2016 reports from Kaiser State Health Facts and Trust for America’s Health.
Millennials increasingly make up the core population of Denver. They are arriving at a greater pace than almost anywhere else in the United States. And the good new is, this younger group is statistically well educated and gainfully employed. That means, they are prosperous and have plenty of money to spend on products and services. As a side note, the industries that are on the rise from this growing core population are entertainment, fast-casual dining, and fitness companies. These businesses are moving into the desirable real estate spaces that are being left behind by shrinking retail giants like like Staples, Sears and Macy’s.
Unless you are highly experienced with Denver commercial real estate and have the confidence to navigate the process on your own, make sure you use a highly-recommended local licensed broker. Denver was built by true pioneers who were looking for something better – like you. On top of that, Denver is growing at a rate that continues to outpace the national average. It has a thriving real-estate market that promises potential value throughout the region. Therefore, it is fiercely competitive, with a constantly shifting landscape. That requires a masterful blend of market insight, advanced analytics skills and a sharp instinct.
Your quintessential Denver commercial real-estate broker will have this set of skills to ensure that you receive the best conditions, value and terms on your transaction. Also, they will get the listing broker to provide useful information, which includes the owner’s motivations and challenges, before you proceed. Finally, an exceptional broker will already be a master at locating, negotiating, and leasing Denver commercial real estate. But of course, proceed, so you also understand these skills. As a business owner in Denver, understanding the factors involved with your location will help you maximize the success of your business.
Selecting the ideal property in Denver for your business is job number one. Everything else comes after that. Therefore, take this process very seriously and read Denver Commercial Real Estate: The Complete Guide to Locating, Negotiating, and Leasing Commercial Real Estate in Denver to prepare yourself to move forward successfully.
Space Selectors offers a simple and customized commercial real estate search in Denver. They will equip you with everything needed to launch your business from a strategic, well-informed position. Through Space Selectors, gain exclusive access to the top experts who are highly-skilled in evaluation, demographic analysis, and commercial real estate negotiation. Then, uncover just how quick, economical and simple their platform works for you to find those ideal commercial real estate options.
For more information on locating your ideal retail property in Denver, contact Space Selectors today. They will provide you with resources for all your Denver commercial real estate needs.