The recent slowdown in the Colorado residential market has left many wondering if the commercial market will be soon to follow. Commercial construction traditionally follows the trends of residential construction. “Rooftops” stimulate a need for commercial and municipal facilities.

Population migration into the state is a key ingredient for a prosperous and healthy commercial construction industry. We must ensure there are a variety of jobs that will attract a healthy workforce to Colorado. To attract new business, our state must place a strong emphasis on proper pro-business legislation that makes our region attractive to companies interested in relocating to Colorado.


Jim Johnson
President and CEO, GE Johnson Construction Co., Colorado Springs

The private sector of commercial construction normally is led by developers. During the recent dynamics and credit crunches, some speculative development projects have been cancelled, postponed or delayed as the new financing requirements are being considered. In order for the commercial building market to remain robust, the public sector must provide these contracting opportunities.

Colorado is in a relatively good position as the state has several publicly funded and diverse projects that will help sustain the commercial building market. These include city and county of Denver’s recent approval of bonds to fund primarily cultural enhancements in the downtown Denver area that include the Denver Center of Performing Arts, Denver Botanical Gardens as well as city and county buildings to complement the already new Denver County Jail and Justice Center.


Joe Levi, AIA
Principal, OZ Architecture, Denver

So far in this economic downturn, Colorado’s construction economy has hovered at the higher ends of the spectrum, showing resiliency and staying power that has exceeded most of the nation.

Certainly one factor we believe has influenced this performance is that Denver area housing prices never skyrocketed the way they did in other markets (Phoenix and Las Vegas, for example). Colorado learned its lesson during the last slowdown, and has been more cautious about over expansion in commercial markets, which means demand should remain steady in many areas.


Chris Strom
Business development manager, Maxwell Builders Inc., Englewood

Colorado's market is unique to most other states. The "resort aspect" of the mountains makes Colorado a natural attraction for neighboring states as well as a national attraction for the United States and the World. A combination of the weak U.S. dollar and central location make Colorado more attractive.

Although the United States is in a national recession and Colorado certainly is feeling the effects, we have events like the Democratic National Convention, which will benefit Colorado. So, although we are in an election year, these events like the DNC, will give Colorado even more exposure.


William Tresham
Chief operating officer, Callahan Capital Partners, Denver

When considering what is required to maintain a strong commercial construction market, our view is that a strong underlying economy is among the most important factors. While certain parts of the country are being particularly hard hit by the economic slowdown and the fallout from the subprime meltdown, Denver has thus far weathered the storm relatively well. While challenges do remain, the city's high concentration of growth industries, such as energy, bioscience and health care, along with professional service firms that support these industries, are providing Denver with a strong foundation for commercial real estate. It's for reasons such as these that Denver is likely to remain among the top economic performers in the nation.