Colorado Springs, CO - Office Market Overview
The Colorado Springs real estate market includes the Falcon Estates, Gateway Park, and Kissing Camels office space submarkets. With a metropolitan population of just under 700,000 residents, Colorado Springs is the second-most populous city in the State of Colorado, right behind Denver. The extensive presence of the defense and aerospace industries create a powerful demand for Class A office space in Colorado Springs.
As of mid-2017, the Colorado Springs office market encompasses just over 12 million square feet of existing office space. In addition to the aerospace and defense business sectors, high technology and education drive the ongoing demand for Colorado Springs commercial real estate.
Colorado Springs, CO - Office Inventory Description
The tourism & outdoor recreation industry is another economic driver for Colorado Springs, with sites such as Pikes Peak, the United States Olympic Training Center, and the USA Hockey headquarters. With a gross metropolitan product of over $32 billion annually, the demand for white collar office space in Colorado Springs is consistently robust. Just under 19% of the office space in Colorado Springs is Class A, with Class B office product adding another nearly 19 million square feet of inventory to the commercial real estate market in the Colorado Springs metro area.
The Pine Creek office market market in Colorado Springs sees some of the strongest demand for office space in the region. Located south of Old Ranch Road and west of Route 21, this submarket is home to investment-grade portfolio office buildings such as the Briargate Office Center on Telstar Drive, the PrimeCenter at Briargate - Buildings A, B & C, and the Research Corporate Center at 8610 Explorer Drive.
Colorado Springs, CO Commercial Inventory Breakdown
Total: 14,797,248 SF
By square footage range:
- 50k to 100k SF: 4,752,450 SF / 32.12% of total office
- 100k to 500k SF: 9,320,712 SF / 62.99% of total office
- 500k to 1M SF: 724,086 SF / 4.89% of total office
- Class A: 4,607,258 SF / 31.14% of total office
- Class B: 8,853,437 SF / 59.83% of total office
- Class C: 803,828 SF / 5.43% of total office
Colorado Springs, CO - Green Office Space
Colorado is home to some of the most environmentally-conscious people in the entire U.S., so it's no surprise that the demand for green office space in Colorado Springs is growing by leaps and bounds. One example of a LEED-certified office building in Colorado Springs is the Patriot Park VII property. With nearly 90,000 square feet of Class A office space, this project was built in 2008 and is located in the Rustic Hills commercial real estate submarket of Colorado Springs. The building holds the difficult-to-obtain LEED Gold certification.
The percentage of energy-efficient, green office space throughout the major office markets in the U.S. has grown significantly over the past 12 years. According to the 2017 National Green Building Adoption Index, across the top 30 major office markets in the U.S. the percentage of green office buildings has increased to about 38% by mid-year 2017. The survey looked at all office buildings with LEED, Energy Star, or green building certifications. Green office buildings in Colorado Springs currently account for about 7% of the total office inventory in the city.
Colorado Springs, CO's Top Office-Using Sectors
The commercial real estate market in Colorado Springs is growing in large part due to demand from the top office-using sectors of aerospace & defense, high technology, tourism, and large corporate office users.
- Aerospace & Defense – Fort Carson, Peterson Air Force Base, Schriever Air Force Base, NORAD, the U.S. Air Force Academy, Boeing, General Dynamics, and the Harris Corporation are just a few businesses in this sector, which create demand for white collar office employment in Colorado Springs.
- High Technology – Companies such as Verizon Business, Hewlett-Packard, SAN, and Cypress Semiconductor also absorb large amounts of office space in the region.
- Tourism – Numerous service businesses in Colorado Springs support the visitors that come throughout the year to view attractions such as the Garden of the Gods, the Cheyenne Mountain Zoo, and Old Colorado City.
- Corporate Office – Other large users of office space include SAIC, ITT, L-3 Communications, the Space Foundation, and Microchip Technology.
Colorado Springs Demographics
- Total Population450,000
- Male Population(49.9 %) 224,484
- Female Population(50.1 %) 225,516
- Median Age34.60
- Average Household Income$77,814
- Median Household Income$58,158
- Median Income Under 25$33,498
- Median Income 25-44$59,728
- Median Income 45-64$73,444
- Median Income Over 65$48,135
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