Denver Office Figures Q3 2026

Denver's office market delivered a split result in Q3 2026. Overall net absorption totaled negative 161,000 sq. ft., but the suburbs and Downtown Denver moved in opposite directions. The suburbs recorded more than 320,000 sq. ft. of positive net absorption, the highest quarterly total in more than five years, with 10 of 15 submarkets posting gains. Downtown posted negative 483,000 sq. ft., led by TIAA's nearly 293,000 sq. ft. move out. Total vacancy held at 28.8%, the fifth straight quarter near that level, while sublease availability fell 26.6% year-over-year to 3.7 million sq. ft. as corporate space shedding continued to fade. Leasing was the clearest bright spot, totaling 1.3 million sq. ft. of activity in Q3 2026, lifting rolling four-quarter volume to 6.1 million sq. ft., the highest level since Q1 2020.

Demand is broadening across the suburbs wile the supply pipeline recedes. Conditions are set for vacancy to trend lower as the Downtown submarket works through its recent losses. Owner-user purchases removed nearly 500,000 sq. ft. from competitive inventory this quarter, and Downtown is poised to follow, with the University of Colorado’s acquisition of Independence Plaza and roughly 1.7 million sq. ft. of planned office-to-residential conversions. The metro recorded two deliveries in Q3 2026, both largely pre-committed, reducing the construction pipeline by 36.4% to 461,000 sq. ft., almost all remaining in Cherry Creek. Sustained leasing momentum and limited new supply position the market for further stabilization heading into the final stretch of 2026.