As a business owner in Colorado, you are probably already thinking about what next year will bring. You may be planning a lease renewal, anticipating a relocation, or wondering whether 2026 might finally be the right time to buy your commercial property. When the economy shifts, the commercial real estate landscape shifts with it. If you are trying to make smart decisions now that will benefit your business later, you are not alone.
This article focuses on what we can reasonably verify today about the path into 2026 particularly as it relates to Federal Reserve leadership changes, monetary policy direction, and how those forces historically affect office, industrial, and commercial real estate investment decisions.
On behalf of Landlord, Fountainhead Commercial negotiated a 5-year lease renewal at 5001 E 38th Ave.
Fountainhead Commercial’s client needed to secure a 15,000-square-foot industrial building in advance of his upcoming lease expiration. After an extensive search across the Denver market, an ideal fit was identified.
On behalf of Buyer, Fountainhead Commercial negotiated the purchase of an industrial property at 4100 Globeville, Denver, CO.
We’re experiencing an unusual moment for industrial real estate in the Denver metro area. Large-bay industrial users, those needing 50,000 SF and above, are navigating a market that looks very different from the one they operated in just a few years ago. Vacancy has climbed to 8.7%, the highest level in more than a decade, rent growth has slipped into negative territory, and the market is still working through a massive construction wave delivered between 2021 and 2023. Even with asking rents flattening, many businesses are still seeing their total occupancy costs rise due to higher property taxes, increasing insurance premiums, and escalating operating expenses.
If you’re a business owner in Colorado, California, Connecticut or elsewhere who’s ever sold a commercial real estate property, you know the painful sting that comes with realizing just how much of your hard-earned equity is about to be eaten up by taxes. Between capital gains, depreciation recapture, and state income tax obligations, a third or more of your money can vanish overnight. It’s frustrating because you worked for years to create that value, and suddenly the government/IRS reaches into your pocket to pilfer the results of your efforts.
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