Denver metro

[Conner Carrier]

What is everyone's opinions on the condo/townhome market in the Westminster, Broomfield, and Thornton areas?  Do you believe these are areas that will continue to grow?  From my research, it doesn't seem there is a large price difference between 2-5 bedrooms.  What market rent do you believe we will see for these kinds of properties in the upcoming years?  Thanks for your input.

[Dan Mackin]

It's dependent upon the place in each city. Along the 36 corridor there is a lot of rental inventory being built, but of course class A. They're not overbuilt yet so the prices still have some room to grow. As the remaining land in the corridor builds out it will become more desirable and public transport will become a higher priority if it is actually reliable. We don't have the space to accommodate all of the building in terms of transportation so something will cause a change. With rates where they are with the C and low B units it's hard to imagine they can get much higher due to income limitations of their tenant pool, but people do what they have to, so again there is still room for growth there. In terms of units if you can pick up a 2 bed for 150k or a 4 bed for 200k the 4 bed is a much better deal and you can get a noticeably higher return if you use the right methods. 

Thornton has some good potential based on the rail getting finished up over the next year or 2. I'll be curious to watch the prices along that line as people start to actually realize it's going in. You'd be amazed how many people don't know that it is happening.