Denver Office Figures Q2 2026

The Denver office market posted its most encouraging quarter post-pandemic in Q2 2026, recording positive net absorption of 179,000 sq. ft. Two of the past three quarters have seen positive net absorption with a combined 77,000 sq. ft., a dramatic shift from the negative 2.2 million sq. ft. observed during the prior three-quarter period. Total vacancy edged down 20 basis points (bps) quarter-over-quarter to 28.7% and was just 20 bps above the level recorded a year ago. Sublease availability continued its steady unwind, falling 24.6% year-over-year to 3.9 million sq. ft. as corporate space shedding continues to fade. Leasing activity totaled 1.7 million sq. ft. for the quarter, the market’s strongest quarterly total since Q1 2022, lifting rolling four-quarter volume to 5.6 million sq. ft. from the 5.2 million sq. ft. seen last quarter.

Investment activity firmed modestly with $222 million in volume across eight transactions, headlined by the record-setting sale of 255 Fillmore in Cherry Creek at $941 per sq. ft. The construction pipeline expanded 48.7% quarter-over-quarter to 708,000 sq. ft., as two more Cherry Creek projects broke ground, one of which is fully pre-committed. With demand strengthening and broadening across submarkets, near-term conversions poised to remove largely vacant inventory from the statistical base, and minimal new supply outside of Cherry Creek, the undersupply conversation for new prime Class A space is moving from theoretical to practical.