Fort Collins is a dynamic office market that is heavily influenced by Colorado State University, not only as the metro’s largest employer, but also serving as an incubator for local tech firms, feeding them talented graduates with hands-on experience. Several prominent companies have established a presence here, including Hewlett-Packard and Intel.
Moreover, Fort Collins boast exceptional economic and demographic trends. Median incomes have increased at a rate twice the national average over the past five years. Net migration has propelled population growth to an average of 2.1%% over the past five years, almost three times the national average.
Even with steady development this cycle, vacancies are exceptionally tight, and rent growth outpaced the national average for four straight years through 2016, before moderating over the past two years. Both the vacancy and availability rates were essentially at cyclical lows moving into the start of 2019.
In a significant March 2018 development, marketing tech company Madwire signed on for 102,000 SF at 3405 S Timberline Road (which had been largely vacant since the beginning of 2015), and leased the remaining 45,000 SF at the building three months later. The new space will allow the rapidly growing company to expand from 500 to 1,200 employees over the next three years.
(information provided from CoStar)