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SEPTEMBER
2020
MONTHLY ECONOMIC
INDICATORS
ACTIVITY AND TRENDS
IMPACTING OUR
REGIONAL ECONOMY
RESEARCH
SPONSOR Development
Research Partners
SEPTEMBER 2020
NOW WHAT?
Six months into the pandemic, most of us have mostly figured out things like remote work and workplace hygiene. Minding
our employees’ emotional health remains a challenge, and leaders in especially hard-hit sectors like hotels, restaurants and
performing arts are still racking their brains to figure out how – if – they can hang on until customers venture out again. Even
those of us whose industries have been hurt but not mortally wounded are adjusting budgets, plans and employee
expectations, knowing that continuing economic uncertainty mandates prudence.
At the same time, though, we all have to look ahead to when the economy comes back. It’s going to be different – and
business will be too. Customer expectations, employee expectations, supply chains, regulatory environments: all of these,
and many other factors, are changing. We don’t yet know where things will land. Yet, now is the time to think strategically
about how to re-launch in whatever the new world will look like.
A thought-starter that caught my eye recently is a McKinsey profile of Mark Thompson, who transformed the New York
Times into a digital-subscription-first news platform. The Times may be the only legacy newspaper in the country that is
actually making money now, and they got there by rethinking not just old paradigms (“print comes first”) but newer ones
(“the only way to make money online is by selling ads”). The lessons from their bumpy road to transformation (by his own
count, they tried and failed at reorganization five times before they got it right) are especially useful in this time of
unprecedented uncertainty. Here are just a few that stood out to me:
• “An outsider has many disadvantages but one advantage is a ‘cold eye’.” Thompson was new to the industry, not just the
company, when he became CEO, so didn’t have the “psychological barriers” of those who’d spent their careers there. I
myself had the same experience when I took the helm at Pinnacol seven years ago without ever having worked at an
insurance company. That helped me think differently about how to better serve our policyholders and injured workers,
which led to accelerated digital changes and an enhanced customer service mindset, among other transformations. What
could a fresh, “cold” eye bring to your company at this time when we all have to recalibrate?
• Avoid “ ‘supersessionism’ – the assumption that what’s going to happen is replacement” by insurgents. In Thompson’s
world, that’s the assumption that traditional news sources will be replaced by new modes and methods. He points out many
of those media insurgents don’t appear to have the resources to last over the long haul, so the odds that they will replace
the established companies don’t appear to be all that great. Think about this point of view in the context of our current
economic upheaval. If you’re an established company, you have advantages that smaller competitors don’t. How can you
use those advantages to evolve – quickly – right now?
• As Thompson and his team sought to evolve The Times, they “needed a cultural shift from a very strict division of labor to
something that was far more integrated…Vertical politics often got in the way of rapid change.” If ever companies have
needed to change rapidly, it’s now. Is your business structured optimally to address the new realities of culture, service,
delivery and – more than ever – innovation?
Lessons like these can help you rethink your assumptions and position your business for success in the “next normal.”
PHIL KALIN To read previous blogs, visit: metrodenver.org/blog
Phil alin joined Pinnacol Assurance as CEO in . He has served as the chief executive of both public and
privately-backed companies, including large hospital systems, as well as organi ations focused on health care data,
technology and education. He has been active nationally on health care topics related to insurance, data analytics,
technology innovation, cost improvement and risk mitigation. Phil is providing an informed opinion on what we
see in the Monthly Economic Indicators.SEPTEMBER 2020 MEI Snapshot
Monthly/Quarterly Direction Year-Over-Year Direction Year-to-Date Direction
Positive Changes
12 of 18 6 of 18 3 of 18
5,800 -103,100 -57,200
Nonfarm Employment Growth
Employment down 5.9% from July 2019
Employment up 0.4% from June to July YTD employment down 3.3% through July
to 2020
21% 21% 25%
% Companies Hiring
(Denver Area) Companies hiring fell 6 percentage points Companies hiring fell 8 percentage points YTD average down 4 percentage points
from 2Q 2020 to 3Q 2020 from 3Q 2019 to 3Q 2020 compared with 2019
7.7% 5.1 percentage points 7.3%
Unemployment Rate
Unemployment down 3.2 percentage Unemployment up from July 2019 to Up 4.5 percentage points from 2019 YTD
points from June to July 2020 average
-15.6% 446.1% 787.5%
Initial Unemployment Insurance Claims
YTD average claims increased through July
Claims decreased from June to July Claims increased from July 2019 to 2020
2020
5.5% 3.4% -3.2%
Total National Retail Sales
National sales increased from June 2019
National sales increased from May to June YTD sales decreased through June 2020
to 2020
85.1 -40.9% 105.8
Mountain Region Consumer Confidence Index
YTD average down 19.6% through July
Index down 10.9 percent from June to July Index down from July 2019 to 2020
2020
43.0% -46.1 percentage points 42.2%
Hotel Occupancy
Increased 7.3 percentage points from June Occupancy decreased from July 2019 to
YTD occupancy down from last year
to July July 2020
109.7% -72.6% -51.3%
Denver International Airport Passengers
YTD passengers decreased through June
Passengers up from May to June Passengers down from June 2019 to 2020
2020
673.6 16.3% 10.9%
Bloomberg Colorado Index
Index up 8.9% from July to August Index up from August 2019 to 2020 YTD return up through August 2020
28,430.1 7.7% -0.4%
Dow Jones Industrial Average
Index up 7.6% from July to August Index up from August 2019 to 2020 YTD return down through August 2020
6,584 6.7% 29,830
Home Sales (closed)
Sales up 27.4% between June and July Sales up from July 2019 to 2020 YTD sales down 10.5% through July 2020
$478,400 1.5% $476,100
Median Home Price
(Denver-Aurora MSA)
Up 1% from 1Q 2020 to 2Q 2020 Price up from 2Q 2019 to 2Q 2020 YTD price 3.7% higher through 2Q 2020
35 -83.0% 831
Foreclosures
Down 40.7% from June to July Down from July 2019 to 2020 Down 40.5% YTD through July 2020
1,500 -15.3% 9,785
Residential Building Permits (Total)
Permits decreased 20.8% from Permits down July 2019 to July YTD permits down 14.6%
June to July 2020 through July 2020
Metro Denver Economic Development Corporation | September 2, 2020 | Page 25.1% 0.1 percentage points 5.5%
Apartment Vacancy Rate Vacancy decreased 0.8
Vacancy increased from 2Q YTD average up 0.3 percentage
percentage points from 1Q
2019 to 2Q 2020 points from last year
2020 to 2Q 2020
10.6% +0.9 percentage points +0.9 percentage points
Office Vacancy Rate (with Sublet) Vacancy rate up 0.6 percentage
2Q 2020 vacancy up from 9.7% 2Q 2020 vacancy up from 9.7%
points from 1Q 2020 to 2Q
one year ago one year ago
2020
5.8% +1 percentage point +1 percentage point
Industrial Vacancy Rate (with Sublet) Vacancy rate increased 0.6
2Q 2020 vacancy up from 4.8% 2Q 2020 vacancy up from 4.8%
percentage points from 1Q
one year ago one year ago
2020 to 2Q 2020
5.0% +0.7 percentage points +0.7 percentage points
Retail Space Vacancy Rate (with Sublet) Vacancy rate increased 0.3
2Q 2020 vacancy up from 4.3% 2Q 2020 vacancy up from 4.3%
percentage points from 1Q
one year ago one year ago
2020 to 2Q 2020
Metro Denver Economic Development Corporation | September 2, 2020 | Page 3SEPTEMBER 2020 MEI
About This Report
The Monthly Economic Indicators is a comprehensive analysis of economic conditions in the seven-county Metro
Denver area, or the region comprised of Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, and Jefferson
Counties. There are two metropolitan statistical areas (MSAs) located within the Metro Denver region: the
Boulder MSA (Boulder County) and the Denver-Aurora-Lakewood MSA (the Denver MSA) (Adams, Arapahoe,
Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, and Park Counties). This report presents
recent data and long-term trends for the seven-county region, MSAs, or counties, depending on availability. The
analysis includes four main data sections: labor force and employment, the consumer sector, residential real
estate, and commercial real estate.
Notable Rankings
• According to a report from IHS Markit, a London-based global information provider, Denver ranked first for
small business job growth from 2019 to 2020. The report used aggregated payroll data to create an index
out of 100. Denver also ranked 12th for highest hourly wage increase, rising 3 percent to $31.85. All
numbers were as of July 2020.
• Denver ranked third on RCLCO’s annual STEM Job Growth Index (“STEMdex”). The index ranked the 38
largest metro areas on indicators including job growth, migration of young households, quality of life, and
favorable cost of doing business. Denver ranked No. 5 on the 2019 index and No. 8 on the 2018 index.
• Inc. Magazine named 151 Colorado-based companies on its Inc. 5,000 list, a comprehensive report of the
fastest-growing companies in America. There were 154 Colorado companies named on the 2019 list. Of the
151 companies listed, 122 were from Metro Denver. The top companies listed were BruMate (No. 14),
NuLeaf (No. 16), Guild Education (No. 23), and Hemp Depot (No. 32).
National Economic Overview
Gross Domestic Product
• The U.S. Bureau of Economic Analysis (BEA) released their second estimate of real gross domestic product
(GDP) for the second quarter of 2020 and found that GDP declined 31.7 percent, up from the advanced
estimate of -32.9 percent and down from the first quarter 2020 GDP estimate of 5 percent growth.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 4• The second estimate reflected more complete data on private inventory investment and personal
consumption expenditures, which decreased less than previously estimated. The decline in 2Q 2020
reflected the response to the COVID-19 pandemic as
“stay-at-home” orders were partially lifted in May
and June and government pandemic assistance
payments were distributed to households and
businesses.
• The BEA noted that the full economic impacts of
COVID-19 cannot be quantified in the GDP estimate
because the impacts are generally embedded in
source data and cannot be separately identified.
The BEA cited mass stay-at-home orders, rapid
changes in consumption and demand, and a
redirection of spending all contributing to the
negative reading in 2Q 2020.
Interest Rates
• The Federal Open Market Committee (FOMC) of the Federal Reserve maintained the federal funds rate to a
range of 0 to 0.25 percent. The Committee said it expects to maintain this target range until the economy
has weathered recent events and is on track to achieve maximum employment and price stability goals.
• Overall financial conditions have improved in recent months, and the Committee stated it will continue to
support the flow of credit to households and businesses by increasing its holdings of Treasury securities and
mortgage-backed securities to sustain smooth market functioning.
• On August 27, the Federal Reserve announced it would adopt “flexible inflation targeting,” a measure that
would allow the Fed to tolerate inflation above the current target of 2 percent in order to make up for
periods of inflation below that target rate. The Fed stated that the new policy will help strengthen the ability
of central banks to stimulate economic growth and help reach the Fed’s target goal of maximum
employment amidst job losses due to the pandemic.
• The next FOMC meeting is September 15-16, 2020.
Policy Watch
Local
• Colorado was approved for the Federal Lost Wages Assistance Program that will pay an extra $300 in weekly
unemployment benefits through the Federal Emergency Management Agency (FEMA). The extra assistance
only covers the retroactive three-week period from July 26th to August 15th, and the application window is
open until September 10th.
• The Colorado Department of Labor and Employment (CDLE) extended the availability of unemployment
benefits for up to 13 weeks for Coloradans who have exhausted both their allotted 26 weeks of regular state
unemployment benefits as well as the additional 13 weeks provided by the federal Pandemic Emergency
Unemployment Compensation (PEUC) program.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 5Economic Indexes & Notable Data Releases
National & International
• The U.S. goods and services trade deficit was $50.7 billion in June, down $4.1 billion from the May deficit of
$54.8 billion. Exports in June totaled $158.3 billion, up $13.6 billion from May, while imports were $9.5
billion more than imports in May, totaling $208.9 billion.
• The Conference Board Leading Economic Index (LEI) increased 1.4 percent to 104.4 in July, following a 3
percent increase in June and a 3.1 percent increase in May. The Board stated that despite recent gains in the
LEI, the significant recovery reported in the previous two months was much larger than in July, signaling that
the recovery is losing momentum. This suggests that economic growth will weaken substantially during the
final months of 2020.
• According to the Institute for Supply Management’s Manufacturing Index, the Purchasing Managers Index
(PMI) was 56 percent in August, up 1.8 percentage points from the July reading of 54.2 percent. This is the
fourth consecutive economic expansion following the contraction in April that ended 131 consecutive
months of growth. The report stated that the August reading is the highest level of expansion since
November 2018, with 15 of the 18 manufacturing industries reporting growth. Many companies are
postponing capital investments for the rest of 2020 due to the current economic environment, but demand
and consumption continued to drive growth while prices continued to expand, reflecting a shift to seller
pricing power.
• The Services Purchasing Managers Index (formerly the Non-Manufacturing Index) by the Institute for Supply
Management was 58.1 percent in July, 1 percentage point higher than the June reading of 57.1 percent. This
month represented the second straight month of growth after two months of contraction in April and May,
which ended 122 straight months of expansion. The report found that all 15 services industries reported
growth in July, and while respondents remain concerned about the pandemic, most are optimistic about
business conditions and the economy as businesses continue to reopen.
• More than half of the nation’s total population are now members of the millennial generation or younger,
according to a Brookings analysis of new data released by the Census Bureau. The data showed that there
were 166 million people of the millennial generation or younger as of July 2019, accounting for 50.7 percent
of the national population.
• A survey conducted by FlexJobs Corp. and Prudential Financial Inc. found that 53 percent of people are
currently earning half or less of their pre-pandemic income, while 31 percent have lost their entire income.
The survey polled over 1,100 people in the U.S. and evaluated respondents on financial health,
unemployment claims, insurance status, and major expenses deferred to a later time. The study also found
that 62 percent of those surveyed do not have enough emergency savings to last six months, and of that, 24
percent said their savings would not even last one month.
• The U.K. economy reported a 20.4 percent contraction in the second quarter of 2020, the worst economic
decline in Europe. The German economy contracted about 10 percent, while Spain shrank 19 percent,
France shrank 14 percent, and Italy shrank 12 percent.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 6Local
• The University of Colorado Boulder Leeds School of Business released its third quarter 2020 Leeds Business
Confidence Index. The Index increased 14.6 points from the previous quarter to 44.3, the single-largest
improvement of the LBCI history. All six components improved from the previous quarter, but five of the six
components of the LBCI were below 50, indicating negative territory. About 52 percent of respondents
continued to cite COVID-19 for their pessimistic outlook, down from 86 percent in 2Q 2020. About 60
percent of respondents indicated their sales and employment may reach pre-pandemic levels in the second
half of 2020 to the second half of 2021. Some respondents stated recovery is likely in 2022 or later, while
some stated they never expect to recover.
• New business filings in Colorado totaled 31,761 in the second quarter of 2020, down 7.8 percent from the
previous quarter and down 1.7 percent compared with the second quarter of 2019, according to the latest
Quarterly Business and Economic Indicators report from the CU Boulder Leeds Business Research Division.
The report noted that new filings grew drastically beginning the week of May 11th, as the state began
considering measures to reopen parts of the economy.
• The CU Boulder Leeds Business Research Division forecasts that Colorado will shed about 128,5000 jobs in
2020, according to the midyear update numbers from the Colorado Business Economic Outlook. The
previous estimate from December predicted the addition of 40,100 jobs in 2020. The hospitality, trade, and
transportation sectors are expected to lose the most jobs.
• According to two reports from the City and County of Denver evaluating the effects of the pandemic on
Denver’s arts and culture scene, creative industries will lose an estimated 29,840 jobs and $1.4 billion in
sales revenue due to COVID-19. The reports found that the statewide music industry lost 8,327 jobs and
$344.6 million in sales revenue between April 1st and July 31st, 2020. Denver supported 96,358 total jobs
just before the pandemic began, and Denver’s creative industries produced $16.2 billion in sales revenue in
2019, representing 4 percent of all goods and services sold within the region.
• The State Demography Office found that the population in Colorado increased by 67,000 from 2018 to 2019,
slower than previously estimated numbers from the office. Net migration slowed to 43,000, while natural
increase (births minus deaths) slowed to 23,000. The office also found that the fastest-growing counties
between 2010 and 2019 were Weld, Broomfield, Douglas, Denver, and Larimer counties, while 19 counties
across the state reported declining population since 2010.
Labor Force & Employment
• Employment in Metro Denver decreased 5.9 percent between July 2019 and 2020, falling by 103,100 jobs
across all supersectors over-the-year. Employment in the Denver-Lakewood Aurora MSA fell 5.6 percent, or
by 87,600 jobs, while the Boulder-Longmont MSA decreased 7.9 percent, or by 15,500 jobs, during the
period.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 7Nonfarm Wage & Salary Employment
(000s, not seasonally adjusted)
Year-to- Year-to- Year-to- Annual Annual
Date Date Date Growth Growth
Month of Month of Month of Average Average Average Rate Rate
Jul-20 Jun-20 Jul-19 YTD 2020 YTD 2019 Change 2015 2010
Total 11-County Metro Denver* 1,644.3 1,638.5 1,747.4 1,662.7 1,719.9 -3.3% 3.6% -0.5%
Denver-Aurora-Lakewood MSA 1,463.6 1,451.8 1,551.2 1,471.8 1,523.0 -3.4% 3.8% -0.5%
Boulder MSA 180.7 186.7 196.2 190.9 196.9 -3.1% 2.3% -0.1%
Natural Resources & Construction 111.8 110.7 120.8 111.8 116.3 -3.9% 5.0% -9.0%
Manufacturing 93.8 93.2 91.2 90.8 90.1 0.7% 3.3% -2.6%
Wholesale & Retail Trade 230.9 224.6 238.2 229.3 235.8 -2.8% 3.0% -0.6%
Transp., Warehousing & Utilities 60.3 58.7 67.7 64.8 65.8 -1.5% 2.5% -3.6%
Information 58.7 58.6 59.5 59.2 59.0 0.3% 1.0% -2.4%
Financial Activities 115.0 115.3 120.7 116.3 119.4 -2.6% 4.0% -2.2%
Professional & Business Services 323.5 321.8 325.5 319.1 314.6 1.4% 3.5% 0.2%
Education & Health Services 213.0 210.0 218.5 213.1 217.4 -2.0% 5.3% 3.0%
Leisure & Hospitality 164.8 157.2 203.4 158.7 192.7 -17.6% 4.6% 1.3%
Other Services 57.9 57.2 66.1 58.5 64.7 -9.5% 2.7% 0.0%
Government 214.6 231.2 235.8 241.0 244.1 -1.3% 2.8% 1.3%
Federal Gov't 31.1 31.1 30.3 30.6 30.0 1.9% 1.8% 3.1%
State Gov't 51.5 61.0 60.2 66.4 66.3 0.2% 3.5% 3.4%
Local Gov't 132.0 139.1 145.3 144.1 147.8 -2.5% 2.7% 0.0%
Colorado 2,623.0 2,622.7 2,804.6 2,657.6 2,765.0 -3.9% 3.1% -1.0%
United States 139,100 138,509 150,699 141,809 149,986 -5.5% 2.1% -0.7%
*Includes the Denver-Aurora-Lakewood MSA (Adams, Arapahoe, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, and Park Counties) and
the Boulder MSA (Boulder County).
Source: Colorado Department of Labor and Employment, Labor Market Information. (p) =preliminary (r) =revised
• Ten of the 11 supersectors reported over-the-year decreases in employment. Leisure and hospitality
reported the largest over-the-year decrease of 19 percent, followed by other services (-12.4 percent) and
transportation, warehousing, and utilities (-10.9 percent). The manufacturing supersector reported the only
over-the-year increase of 2.9 percent.
• Employment in Colorado decreased 6.5 percent, falling by 181,600 jobs over-the-year. National employment
fell 7.7 percent, or by about 11.6 million jobs, during the period.
• Colorado has gained back 134,200 of the 342,700 nonfarm payroll jobs the state lost between January and
April, indicating a recovery rate of 39.2 percent. The national recovery rate was 41.9 percent.
Metro Denver Industry Cluster Headlines
Note: The following section does not include any announcements from companies that increased or decreased
their employment due to COVID-19. Such announcements are numerous and likely only reflect a small
Metro Denver Economic Development Corporation | September 2, 2020 | Page 8percentage of actual changes related to the pandemic. Instead, this section highlights specific industry
announcements recently made related to on-going business operations.
Aerospace
• Raytheon Technologies Corp. is looking to fill 200 open positions in Aurora. The company currently employs
2,500 people and expects to continue adding jobs as a part of a larger plan to add 400-500 positions by
2024. The merger between Raytheon and United Technologies in April added business to the company’s
satellite ground-control system development and data management specialties, making Aurora the main
hub for the Raytheon Intelligence & Space division.
Bioscience – Pharmaceuticals and Biotechnology
• MBio Diagnostics Inc. and Brava Diagnostics Inc. merged at the end of July amid rapid employment growth
for both companies. MBio, which developed the LightDeck testing platform, has been used for rapid COVID-
19 testing, and the company has grown from 18 to 45 people so far this year. The combined company plans
to lease an additional 10,000 square feet at its 5603 Arapahoe Ave. location in Boulder and expand the
workforce to 60-65 by the end of 2020.
• Boulder-based Front Range Biosciences Inc. will partner with Shimadzu Scientific Instruments to build a
Hemp Science Center of Excellence at the Front Range Biosciences headquarters in Boulder. The new center
will focus its research on testing new plant varieties with different environments and breeding, with
Shimadzu providing technology for potency testing, terpene profiling, and contaminant testing.
Financial Services – Banking & Finance
• AmeriSave Mortgage Corp. plans to hire between 250 and 300 people in Denver as a part of a companywide
expansion of more than 2,000 new employees nationwide. The company has not yet leased office space in
Denver but plans to hire remote employees in a variety of positions ranging from loan officers to mortgage
underwriters to customer care positions.
IT-Software
• Boulder-based in-app messaging startup Stream closed on a $15 million Series A round of funding and will
scale its global team across engineering, sales, and marketing from 60 employees to about 100 by the end of
the year. The company has offices in Boulder and Amsterdam and splits their workforce between the two
offices.
• Amazon Inc. plans to add 3,500 new tech and corporate jobs in six U.S. cities including Denver. The company
expects to add 100 jobs and 20,000 square feet of additional office space in its downtown Denver Tech Hub,
where about 700 of Amazon’s existing 10,500 Colorado employees work.
• Palantir Technologies Inc. will relocate its headquarters from Palo Alto, CA to 1555 Blake St. in Denver. The
company sells data analysis and tracking software to governments and employs about 2,500 people
worldwide. It is not clear how many employees will be added to the new office.
• Contentful, a content management systems company, announced it will open a new office in Denver and
plans to hire between 50 and 100 employees in the next year. The company has yet to sign a lease for local
Metro Denver Economic Development Corporation | September 2, 2020 | Page 9office space but expects to do so in the near future. Contentful plans to hire for positions including sales,
partnerships, customer success, professional services, and marketing.
Other Industry Headlines
• Havenly, a home designer company, has hired seven new people since April as demand for redecorating
services has increased significantly. The company currently has a waitlist of 2,500 customers looking for
designers to redecorate their homes and employs 70 people in Denver.
• A report by the University of Colorado Board of Regents found that the CU System provided $14.2 billion to
the state’s economy in the 2019 fiscal year. CU Boulder was the largest contributor to the economy with an
estimated $1.66 billion in wages and $2.43 billion in estimated value added to the state’s gross domestic
product, while supporting about 26,583 people in direct and indirect jobs.
Employment Outlook
• The Manpower Employment Outlook Survey revealed
that 21 percent of employers surveyed in the Denver-
Aurora MSA will hire more employees in the third
quarter of 2020, a decrease of 6 percentage points
from the previous quarter and a decrease of 8
percentage points compared with the same time last
year. Employers surveyed reported that hiring
intentions have slowed due to COVID-19 and
uncertainty on businesses reopening; however,
employers are optimistic to hire in multiple industries
despite concerns.
• Hiring intentions in Denver exceeded national expectations, which reported that 17 percent of companies
plan to hire in the third quarter of 2020, an over-the-year decrease of 10 percentage points.
Employment Outlook Survey
Quarter 3 Quarter 2 Quarter 3 YTD YTD Ann Avg Ann Avg
2020 2020 2019 2020 2019 2015 2010
Denver-Aurora-Broomfield MSA
Percent of Companies Hiring 21% 27% 29% 25% 29% 22% 13%
Percent of Companies Laying Off 11% 2% 1% 6% 3% 3% 10%
Percent of Companies No Change 58% 70% 68% 66% 68% 73% 73%
Percent of Companies Unsure 10% 1% 2% 4% 1% 3% 5%
United States
Percent of Companies Hiring 17% 23% 27% 21% 25% 22% 15%
Percent of Companies Laying Off 11% 3% 3% 6% 4% 5% 10%
Percent of Companies No Change 62% 73% 69% 69% 71% 72% 72%
Percent of Companies Unsure 10% 1% 1% 4% 1% 2% 3%
Source: Manpower Inc.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 10• Employers in nine of the 12 industries across the U.S. expected to add workers during the third quarter, led
by education and health services (+13 percent), leisure and hospitality (+7 percent), and government (+4
percent).
Labor Force & Unemployment
• Unemployment in Metro Denver rose 5.1 percentage
points over-the-year to 7.7 percent in July 2020. The
unemployment rate decreased 3.2 percentage points
from the previous month’s reading of 11 percent,
primarily due to the decrease in the size of the labor
force.
• All seven counties in Metro Denver reported over-
the-year increases in the unemployment rate.
Denver County reported the largest increase of 6.1
percentage points, followed by Arapahoe County
(+5.6 percentage points) and Adams County
(+5.4 percentage points). Douglas County reported the lowest unemployment rate of 5.8 percent in July,
while Denver County reported the highest rate of 8.8 percent during the period.
• There were 18,538 fewer people either employed or looking for work between July 2019 and 2020 in Metro
Denver, a decrease of 1 percent. The labor force rose in one of the seven counties, Denver County (+0.3
percent). Boulder County reported the largest decline in the labor force of 3.4 percent over-the-year,
followed by Douglas County (-2.6 percent) and Broomfield County (-1.5 percent).
Labor Force Statistics
(000s, not seasonally adjusted civilian labor force)
July 2020 (p) 2020 YTD AVG 2019 YTD AVG 2015 2010
Ann Avg Ann Avg
Total Labor Unemploy- Total Labor Unemploy- Total Labor Unemploy- Unemploy- Unemploy-
Force ment Rate Force ment Rate Force ment Rate ment Rate ment Rate
Metro Denver 1,829.4 7.7% 1,836.2 7.3% 1,826.1 2.8% 3.7% 8.5%
Adams County 275.6 8.3% 275.7 7.9% 273.6 3.2% 4.4% 10.0%
Arapahoe County 370.0 8.3% 369.2 7.7% 366.2 2.9% 3.7% 8.6%
Boulder County 189.5 6.6% 195.4 6.2% 195.8 2.5% 3.2% 7.0%
Broomfield County 40.1 6.9% 40.3 6.8% 40.2 2.6% 3.3% 7.4%
Denver County 425.1 8.8% 424.0 8.1% 418.7 2.9% 3.7% 9.1%
Douglas County 192.3 5.8% 193.7 6.0% 194.9 2.6% 3.1% 7.0%
Jefferson County 336.8 7.2% 337.8 7.1% 336.6 2.8% 3.5% 8.4%
Colorado 3,102.0 7.4% 3,124.9 7.3% 3,128.2 3.0% 3.9% 8.7%
United States 161,374 10.5% 160,904 8.8% 163,076 3.8% 5.3% 9.6%
Source: Colorado Department of Labor and Employment, Labor Market Information. (p) =preliminary
• Colorado reported an unemployment rate of 7.4 percent in July, up 4.7 percentage points from the same
time last year. Over-the-month, unemployment declined 3.4 percentage points, the third-largest decline of
any state in July. The labor force fell 2.2 percent over-the-year, representing 69,818 fewer people either
Metro Denver Economic Development Corporation | September 2, 2020 | Page 11employed or looking for work during the period. The national unemployment rate rose 6.5 percentage
points over-the-year to 10.5 percent in July, while the labor force fell 2.2 percent during the period.
• More than 1 million Americans applied for unemployment benefits for the week ending August 21st,
according to the U.S. Department of Labor. The number of initial claims has exceeded 1 million every week
but one since late March. Claims never surpassed 700,000 before the pandemic. The Department reported
that more than 14.5 million Americans are collecting traditional jobless benefits, up from 1.7 million the
same time last year.
• For the 22 weeks from March 15 through August
15, 713,241 workers in Colorado submitted an
initial unemployment insurance claim, consisting
of 530,332 wage and salary workers and 182,909
self-employed workers. About 59.7 percent of the
workers filing an initial unemployment insurance
claim reside in Metro Denver.
• While there have been a couple of upticks in the
weekly data, initial claims generally have been on
a downward trend since peaking at 86,500 during
the week ending March 28.
• Continued unemployment insurance claims in
Colorado are slowly declining but remain
stubbornly high, averaging 218,900 claims per
week for the past 16 weeks (4/19/2020-
8/8/2020). Nearly 62 percent of the continuing
claimants are residents of Metro Denver.
• A separate data series that is included monthly in
this report indicated that initial unemployment
insurance claims in Metro Denver rose 446.1
percent between July 2019 and 2020, rising to a
weekly average of 4,909 claims during July 2020.
• Colorado reported an average of 8,434 initial
unemployment claims per week in July, up 396.4 percent from the same time last year and representing an
additional 6,735 claims each week. Year-to-date average weekly initial claims rose 669.9 percent in Colorado
during the period.
Weekly First-Time Unemployment Insurance Claims
Month of Month of Month of YTD Avg YTD Avg YTD Avg Ann Avg Ann Avg
Jul-20 Jun-20 Jul-19 2020 2019 % Change 2015 2010
Metro Denver 4,909 5,816 899 9,082 1,023 787.5% 1,331 2,095
Colorado 8,434 9,440 1,699 14,915 1,937 669.9% 2,615 3,911
Note: Reference week data includes the 19th day of the month for all months except November and December, which include the 12th day of the month.
Source: Colorado Department of Labor and Employment, Labor Market Information.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 12Consumer Sector
Sentiment & Spending
• The Consumer Confidence Index for the U.S.
decreased 36.8 percent over-the-year to 84.8 in
August 2020.
• Analysts at the Conference Board stated that
consumers’ assessment of present-day conditions
and the short-term outlook fell in August as more
consumers believed the job market was
deteriorating. Consumer spending has rebounded in
recent months but is likely to remain low in the near
future as the economic outlook remains dim and
consumers continue to worry about their financial
well-being.
• Colorado is included in the Mountain region Index
and the area reported an over-the-year decrease of 40.9 percent between August 2019 and 2020. The
Present Situations Index fell 57.4 percent over-the-year to 79.1, while the Expectations Index fell 23.2
percent to 89.1 during the period.
Consumer Confidence Index
Month of Month of Month of YTD Avg YTD Avg YTD Avg Ann Avg Ann Avg
Aug-20 Jul-20 Aug-19 2020 2019 % Change 2015 2010
Mountain 85.1 86.0 143.9 105.8 135.6 -22.0% 109.4 56.0
United States 84.8 91.7 134.2 103.5 129.0 -19.8% 98.0 54.5
Source: The Conference Board. (p) = preliminary (r) = revised
• A new poll from The Associated Press-NORC Center for Public Affairs Research found that 45 percent of
Americans say they are saving more money than usual, and 26 percent say they are paying down debt faster
than they were before the beginning of the pandemic. The survey also found that about 66 percent say they
are spending less than usual during the pandemic, and the Fed found there has been a $1.3 trillion increase
in money kept in checking accounts since February. Experts worry that decreased spending would limit the
scope of a recovery as consumer spending remains low, and only 37 percent of Americans call the national
economy good, down from 67 percent in January.
• National retail sales activity rose 3.4 percent over-the-year in June, with nine of the 13 supersectors
reporting increases during the period. Non-store retailers reported the largest increase of 31.3 percent,
followed by building materials and garden equipment and supplies stores (+24.7 percent), sporting goods,
hobby, book, and music stores (+23 percent), and food and beverage stores (+11.1 percent). Clothing and
clothing accessories stores reported the largest decrease of 25.7 percent, followed by food services and
drinking places (-22.9 percent) and electronics and appliance stores (-19.4 percent).
• Preliminary national retail sales data suggests that spending increased by 1.2 percent from June to July,
representing a 2.7 percent increase from July 2019 to July 2020. Some analysts are concerned that the
Metro Denver Economic Development Corporation | September 2, 2020 | Page 13expiration of the $600-a-week federal unemployment benefit has dimmed the outlook for consumer
spending.
National Retail Sales ($millions)
Annual Annual
Month of Month of Month of YTD Total YTD Total YTD Total Growth Growth
Jun-20 May-20 Jun-19 2020 2019 % Change 2015 2010
Total Retail Sales 536,142 508,221 518,273 2,897,951 2,992,307 -3.2% 2.6% 5.4%
Motor Vehicles 115,421 108,267 104,743 567,425 605,639 -6.3% 7.2% 10.6%
Furniture and Home 9,630 7,136 9,539 46,960 55,907 -16.0% 6.9% 0.5%
Electronics & Appliance 6,033 4,319 7,481 34,803 44,276 -21.4% 0.1% 2.1%
Building Materials 43,116 43,298 34,575 211,335 191,435 10.4% 4.2% -0.4%
Food and Beverage 70,885 75,358 63,795 420,790 373,056 12.8% 2.4% 2.1%
Health and Personal Care 29,637 27,757 28,966 174,921 176,946 -1.1% 5.3% 3.0%
Gasoline Stations 35,560 31,431 43,823 202,062 244,108 -17.2% -17.6% 14.6%
Clothing & Accessories 15,564 8,748 20,960 73,474 121,400 -39.5% 2.2% 4.3%
Sporting Goods 8,102 6,143 6,585 34,196 36,375 -6.0% 0.3% 0.3%
General Merchandise 58,825 61,682 58,727 344,281 336,926 2.2% 1.2% 2.5%
Miscellaneous Store 11,613 9,974 11,468 59,803 63,431 -5.7% 3.0% 2.4%
Non-Store Retailers 80,862 81,800 61,580 434,389 365,856 18.7% 8.2% 9.6%
Food Service & Drinking 50,894 42,308 66,031 293,512 376,952 -22.1% 8.2% 3.3%
Source: U.S. Census Bureau.
• The Colorado Department of Revenue (DOR) is now providing state retail sales data on a regular basis,
allowing a reasonable comparison of county level data to national data. However, as of June 2019, the DOR
reports data based on “destination sourcing,” or the location where the purchaser received the goods, as
opposed to the retailer’s business location. Further, out-of-state retailers are now required to collect and
remit sales tax for goods delivered into Colorado based on the purchaser’s location. These changes may
cause variations in current data compared with prior years.
• Retail sales in Metro Denver fell 5.2 percent between June 2019 and June 2020. Four of the seven counties
in Metro Denver reported an over-the-year increase in retail sales. Jefferson County reported the largest
over-the-year increase of 21.9 percent, followed by Arapahoe County (+6.8 percent) and Broomfield County
(+5.4 percent). Boulder County reported the largest decrease of 37.9 percent, followed by Denver County
(-9.5 percent) and Adams County (-3.3 percent) during the period. Retail sales throughout Colorado fell 2.3
percent over-the-year to about $20.5 billion in June 2020.
• According to taxable retail sales number from the Colorado Department of Revenue, Colorado municipalities
captured $1 billion fewer retail sales between January and May of this year compared with last year, a fall of
2 percent. Of the losses, roughly 70 percent came from Metro Denver.
• Sales and use tax revenue in the City and County of Denver fell 12.9 percent between the first half of 2019
and the first half of 2020, according to a report by the Common Sense Institute. In contrast, sales tax
revenue increased 3.2 percent in Douglas County and 2.9 percent in Aurora. The differences in the pace of
sales tax changes may potentially be due to differing work-leisure commuting patterns prevailing
throughout Metro Denver during the pandemic.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 14Total Retail Sales ($000s)
Annual Annual
Month of Month of Month of YTD Total YTD Total YTD Total Growth Growth
Jun-20 May-20 Jun-19 2020 2019 % Change 2015 2010
Total Metro Denver 12,292,298 9,727,654 12,966,452 63,062,471 63,589,722 -0.8% 1.2% 9.6%
Adams County 2,322,093 1,887,737 2,401,167 12,200,790 12,694,779 -3.9% -7.5% 28.8%
Arapahoe County 2,213,745 1,807,354 2,073,364 11,091,306 10,683,652 3.8% 1.5% 6.1%
Boulder County 1,413,842 962,702 2,275,268 6,480,878 7,522,309 -13.8% 0.4% 5.9%
Broomfield County 260,660 175,374 247,265 1,235,388 1,214,263 1.7% 1.9% 14.2%
Denver County 2,820,747 2,256,340 3,115,985 14,868,428 15,974,783 -6.9% 2.6% 5.2%
Douglas County 1,147,621 975,733 1,119,469 5,833,373 5,717,942 2.0% 16.8% 7.3%
Jefferson County 2,113,590 1,662,414 1,733,934 11,352,308 9,781,994 16.1% 2.8% 4.7%
Colorado 20,483,592 16,402,916 20,956,709 104,976,081 104,796,615 0.2% 0.1% 8.0%
Source: Colorado Department of Revenue.
Price Changes
• The U.S. Consumer Price Index (CPI) increased 1.2 percent over-the-year to 259.1 in July. Six of the eight
components increased during the period, with the largest increases in medical care (+5.5 percent), food and
beverage (+4 percent), and other goods and services (+3.2 percent). Apparel reported the largest over-the-
year decrease of 7.7 percent, followed by transportation that fell 5.8 percent.
• The CPI for Denver-Aurora-Lakewood rose 3.5 percent over-the-year to 275.6 in July. Six of the eight
components reported increases between July 2019 and 2020, with the largest increases in housing
(+6.4 percent), food and beverage (+5.3 percent), and other goods and services (+3.9 percent).
Transportation reported the largest over-the-year decrease of 4.1 percent, followed by recreation that fell
0.1 percent.
• According to the AAA Daily Fuel Gauge Report, the national average fuel price for August was $2.23 per
gallon, down 13.4 percent from the same time last year. The Metro Denver average fuel price decreased 4.9
percent over-the-year to an average of $2.32 per gallon, a fall of $0.12. The average fuel price in Metro
Denver was $0.09 higher than the average fuel price throughout the U.S.
Stock Market
• All four stock market indices increased between August 2019 and 2020. The NASDAQ Index reported the
largest increase, rising 47.9 percent, followed by the S&P 500 (+19.6 percent), Bloomberg Colorado
(+16.3 percent), and the DJIA Index (+7.7 percent). Financial analysts are quick to point out that the stock
market is a forward-looking indicator, so it is not unusual to see a rising stock market even as current
economic conditions are challenged.
Stock Market Indexes
Annual Avg Annual Avg
Month of Month of Month of YTD Return YTD Return Return Return
Aug-20 Jul-19 Aug-19 2020 2019 2015 2010
Bloomberg Colorado 673.6 618.7 579.1 10.9% 25.7% -17.3% 45.3%
S&P 500 3,500.3 3,271.1 2,926.5 8.3% 16.7% -0.7% 12.8%
NASDAQ 11,775.5 10,745.3 7,962.9 31.2% 20.0% 5.9% 16.9%
DJIA (Dow Jones) 28,430.1 26,428.3 26,403.3 -0.4% 13.2% -2.3% 11.0%
Sources: Bloomberg.com; Yahoo! Finance.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 15• The percentage of Americans who own stock, either directly or through retirement or mutual funds, has
fallen from a high of 67 percent in 2002 to about 55 percent currently. Further, the top 10 percent of
Americans by wealth owned 87 percent of all stock outstanding in the first quarter, according to data from
the Federal Reserve. That share has grown over the past decade, up from 82.4 percent in 2009.
Travel & Tourism
• The average hotel occupancy rate in Metro Denver fell 46.1 percentage points over-the-year to 43 percent
in the month of July. The average hotel room rate fell 40.9 percent to $97.49 per night, a decrease of $67.56
during the period.
Metro Denver Hotel Statistics
Month of Month of Month of YTD Avg YTD Avg YTD Avg Ann Avg Ann Avg
Jul-20 Jun-20 Jul-19 2020 2019 % Change 2015 2010
Percent of Hotel Rooms Occupied 43.0% 35.7% 89.1% 42.2% 75.1% -32.9% 75.9% 64.4%
Average Hotel Room Rate $97.49 $91.85 $165.05 $113.07 $145.40 -22.2% $133.65 $107.77
Source: Rocky Mountain Lodging Report.
• Spokespeople for Denver International Airport (DEN) reported that 1,750,368 passengers passed through
the airport in June, a fall of 72.6 percent from the previous year, or a decline of over 4.6 million passengers.
While air travel is still restrained due to COVID, the number of passengers in June was more than double the
number in May.
Denver International Airport Passengers
Month of Month of Month of YTD Total YTD Total YTD Total Annual Annual
Jun-20 May-20 Jun-19 2020 2019 % Change 2015 2010
Number of Airline
Passengers 1,750,368 834,871 6,385,666 15,914,403 32,703,023 -51.3% 54,014,502 51,985,038
Source: Denver International Airport, Traffic Statistics.
Residential Real Estate
• Construction began on a 351-unit multifamily community at 1225 Wadsworth Blvd. near the RTD Lakewood-
Wadsworth light rail station. The project will include a mix of studios, one-, two-, and three-bedroom
market-rate apartments, as well as resident amenities. Austin-based Aspen Heights Partners are the
developers for the project.
• Dinerstein Cos., a Houston-based developer, bought 7.8 acres at Westminster Blvd. and W 109th Ave. and
plans to develop a 261-unit multifamily project. No construction timeline was disclosed.
• Indiana-based developer Pivot Development Co. plans to construct The Lock at Flatiron, a 250 to 265-unit
apartment complex at Flatiron Blvd. and Interlocken Loop. The project will include studio, one-, two-, and
three-bedroom units ranging from 675 to 1,425 square feet. Prices will range from about $1,400 to $3,500
per month.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 16• Affordable housing investor Dominium will develop a multifamily housing project at 19130 J. Morgan Blvd.
in Parker. The project, called South Range Crossings, will include 204 affordable units and be the company’s
fourth property it has developed in Colorado.
• Lokal Homes will begin redeveloping the former Colorado Department of Transportation (CDOT) regional
headquarters into the Hub at Virginia Village, a townhome project at 2000 Holly St. that will bring 198
townhomes to the area. No timeframe has been given on construction or delivery.
• The Picerne Group submitted plans for a five-story apartment complex at the 1600 block of N Fillmore St. in
the City Park neighborhood. The preliminary plans do not state how many units are planned, but a floor plan
shows 36 units on one level.
• Plans were submitted for a nine-story apartment building at 2608 and 2638 W 13th Ave. in Sun Valley. The
proposal includes 166 units, including 28 studios, 96 one-bedroom units, and 42 two-bedroom units.
Construction is expected to begin in 2021. The project, called Mile High Studios, will be developed by Alicia
Svaldi of Faustson Tool.
• Denver City Council approved three loans that would bring 325 apartments for low- and moderate-income
households to Denver. The Council approved a 72-unit affordable housing project at the Loretto Heights
campus, as well as 150 units at Viña, a mixed-use development near the Brighton N Line station, and 103
units for Capitol Square Apartments at 1295 Sherman St. The loans require the projects to remain affordable
for 60 years.
• KB Home Colorado Inc. purchased 122 home sites at a plot of land in Erie to expand its Flatiron Meadows
community. The company plans to construct two-story paired homes ranging from 1,600 to 1,900 square
feet with prices starting in the low $400,000s. No timeline has been announced for construction.
• The Longmont Planning and Zoning Commission approved the Bohn Farm co-housing development in
Longmont. The six-acre site would include 46 residential units split into 24 condos, 12 townhouses, four
single-family homes, and six live-work units, as well as 5,600 square feet of commercial space.
• Taylor Kohrs completed construction on Emerson Flats, a low-income housing project in Capitol Hill. The
project is five stories and includes 21 one-, two-, and three-bedroom apartments across 26,022 square feet.
Home Resales
Metro Denver
• According to a report from ATTOM Data Solutions, mortgages in Metro Denver reached 54,387 in the
second quarter of 2020, up 65 percent from the same time last year and the highest amount since the third
quarter of 2005. Mortgage refinancings are up 160.5 percent from the second quarter of 2019 in Metro
Denver, and up 100 percent nationally over-the-year. The report cited low mortgage rates of 3 percent or
lower for driving mortgage activity.
• Home sales in Metro Denver totaled 6,584 in July, up 6.7 percent from the same time last year. According to
the Denver Metro Association of Realtors (DMAR) record-low mortgage rates are improving affordability and
driving buyer demand for housing.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 17• Unsold homes on the market were 31.1 percent lower in July 2020 compared with the same time last year.
This represented 2,910 fewer homes on the market.
• The average sales price for single-family homes increased 7.6 percent over-the-year to $578,790,
representing an additional $41,028 per home during the period. The average sales price for condominiums
rose 5.9 percent over-the-year to $328,241, representing an additional $18,180 per home.
Previously Owned Home Sales Activity
Month of Month of Month of YTD Total YTD Total YTD Total Ann Total Ann Total
20-Jul 20-Jun 19-Jul 2020 2019 % Change 2015 2010
Home Sales (Closed) 6,584 5,168 6,173 29,830 33,346 -10.5% 55,509 38,818
Unsold Homes on Market 6,449 6,383 9,359 6,449 9,359 -31.1% 4,384 18,257
Average Sales Price-Single Family $578,790 $546,435 $537,762 $540,791 $520,703 3.9% $405,811 $282,080
Average Sales Price-Condo $328,241 $312,130 $310,061 $318,927 $310,995 2.6% $258,464 $161,005
Median Sales Price-Single Family $485,000 $466,250 $453,000 $347,000 $235,000
Median Sales Price-Condo $300,000 $289,500 $284,950 $212,250 $136,000
Source: Colorado Comps LLC; Denver Metro Association of Realtors; REcolorado.
National
• Total existing-home sales rose 24.7 percent from June to July to a seasonally adjusted annual rate of 5.86
million, according to the National Association of Realtors (NAR), setting a new record for monthly increases
in sales previously set last month from May to June (+20.7 percent). Overall sales increased 8.7 percent
year-over-year from the July 2019 reading of 5.39 million homes sold.
• All four regions reported over-the-year increases in total home sales. The Northeast region reported the
largest increase of 30.6 percent, followed by the West (+30.5 percent), the Midwest (+27.5 percent), and the
South (+19.4 percent).
• Properties remained on the market for 22 days in July, down from 24 days in June and from 29 days in July
2019. Of the homes sold in July, 68 percent were on the market for less than a month.
Home Prices
• NAR data showed the median existing-home price for all housing types was $304,100 in July, up 8.5 percent
from the same time last year. This marked the first time that the national median price surpassed $300,000.
Further, this month’s increase marks 101 straight months of year-over-year gains.
• Median home prices increased in all four regions over-the-year. The West region reported the largest
increase of 11.3 percent, followed by the South (+9.9 percent), the Midwest (+8 percent), and the Northeast
(+4 percent).
Metro Denver Economic Development Corporation | September 2, 2020 | Page 18• The West region reported the highest median home
price of $453,800, while the Midwest reported the
lowest median price of $244,500 in July.
• A separate NAR report revealed that the median price
in the Boulder MSA decreased 3 percent over-the-
year to $606,700 in the second quarter of 2020. The
Denver-Aurora MSA rose 1.5 percent over-the-year to
a median home price of $478,400 during 2Q 2020,
while the national median home price increased 4.2
percent to $291,300 during the period.
Median Sales Price of Existing Single-Family Homes ($000s)
Quarter 2 Quarter 1 Quarter 2 YTD Avg YTD Avg YTD Avg Median Median
2020 (p) 2020 (r) 2019 2020 2019 % Change 2015 2010
Boulder MSA $606.7 $622.0 $625.3 $614.4 $614.5 0.0% $454.1 $358.1
Denver-Aurora MSA $478.4 $473.8 $471.4 $476.1 $459.0 3.7% $353.6 $232.4
United States $291.3 $274.6 $279.5 $283.0 $267.2 5.9% $223.9 $173.1
Source: National Association of REALTORS. (p) =preliminary (r) =revised
• The Boulder MSA had the sixth highest median home price of the 181 MSAs tracked in the report. The
Denver MSA had the 12th highest home price.
• According to the S&P/Case-Shiller Home
Price Index, housing prices in Denver rose
4 percent from June 2019 to 2020, higher
than the previous month’s over-the-year
increase of 3.9 percent. National housing
prices increased 4.3 percent over-the-year
to 219.82, the same pace as last month.
• Phoenix reported the largest over-the-year
growth rate of 9 percent, followed by
Seattle (+6.5 percent) and Tampa
(+5.9 percent). Denver ranked No. 11 out
of the 20 cities in over-the-year growth, up
from No. 13 the previous month.
• Chicago reported the smallest over-the-
year increase of 0.6 percent, followed by
San Francisco (+1.4 percent) and New York
(+1.6 percent). Data for Detroit was not
available from March to June 2020.
Foreclosures
• Serious delinquencies on mortgages, defined as those where a borrower is 90 days or more behind on
payment, accounted for 1.5 percent of total delinquencies in the U.S. in May, up from 1.3 percent during the
same time last year and the first year-over-year increase since November 2010, according to CoreLogic. The
company forecast that U.S. serious delinquencies could quadruple by the end of 2021 as economic
Metro Denver Economic Development Corporation | September 2, 2020 | Page 19conditions brought on by the pandemic continue to put financial strain on households. The Metro Denver
delinquency rate was 0.6 percent in May 2020, up from 0.4 percent in May 2019.
• According to the Mortgage Bankers Association’s National Delinquency Survey, the delinquency rate
increased from 4.36 percent in the first quarter of 2020 to 8.22 percent in the second quarter of 2020, the
biggest quarterly rise in the history of the survey.
• Foreclosures in Metro Denver decreased 83 percent between July 2019 and 2020, falling by 171 filings
during the period, as the moratorium on foreclosures continued until July 13. All seven counties reported
decreases in filings compared with last year. Douglas County reported the largest over-the-year decrease of
94.4 percent, followed by Boulder County (-88.9 percent) and Adams County (-85.7 percent). Arapahoe
County reported the most modest over-the-year decline of 74 percent while Broomfield County reported 0
foreclosures in July. Adams County reported the largest absolute decrease of 48 filings during the period.
Real Estate Foreclosures
Month of Month of Month of YTD Total YTD Total YTD Total Annual Total Annual Total
Jul-20 Jun-20 Jul-19 2020 2019 % Change 2015 2010
Total Metro Denver* 35 59 206 831 1,396 -40.5% 3,504 23,117
Adams County 8 16 56 179 312 -42.6% 768 4,761
Arapahoe County 13 20 50 186 344 -45.9% 857 5,500
Boulder County 1 1 9 39 80 -51.3% 220 1,272
Broomfield County 0 0 5 11 27 -59.3% 36 279
Denver County 7 10 40 186 281 -33.8% 690 5,053
Douglas County 1 4 18 87 140 -37.9% 322 2,403
Jefferson County 5 8 28 143 212 -32.5% 611 3,849
*The total number of election and demand setups (initial filings) received by county public trustees. Filings may be subsequently cured or withdrawn.
Sources: County public trustees.
New Home Sales
• New home sales in the U.S. increased 36.3
percent over-the-year to a seasonally
adjusted annual rate of 901,000 in July,
according to estimates released by the U.S.
Census Bureau and the U.S. Department of
Housing and Urban Development.
• All four regions reported over-the-year
increases in home sales, led by the Midwest
(+81.4 percent), the West (+40.8 percent),
and the South (+27.6 percent). The
Northeast region reported the most modest
increase of 25 percent during the period.
Metro Denver Economic Development Corporation | September 2, 2020 | Page 20New Home Construction
National
• Builder confidence for newly built single-family homes rose 6 points to 78 in August, according to the latest
National Association for Home Builders/Wells Fargo Housing Market Index (HMI). The increase in August
reached the highest reading in the 35-year history of the series, matching the record that was set in
December 1998. Low interest rates and demand for single-family homes continue to push buyer traffic;
however, the V-shaped recovery for housing has produced a significant increase in lumber prices, which
have more than doubled since mid-April. The NAHB warns that continued cost increases could dampen
momentum in the housing market in the near future.
• According to the U.S. Census Bureau, the seasonally adjusted annual number of nationwide residential
building permits totaled about 1.48 million permits in July, an increase of 8.6 percent compared with the
same time last year.
• Single-family detached building permits across the U.S. increased 14.8 percent over-the-year, rising by
126,000 permits in July. Single-family attached units decreased 2.2 percent to 45,000 permits, while multi-
family units reported a fall of 1.7 percent to 461,000 permits during the period.
• All four regions reported over-the-year increases in total permits. The Midwest region reported the largest
increase of 32.5 percent, followed by the South (+7.8 percent), the Northeast (+4.6 percent), and the West
(+0.5 percent) during the period.
Metro Denver
• Residential building permits in Metro Denver totaled
1,500 permits in July, a decrease of 15.3 percent, or
272 permits, from the same time last year.
• Single-family detached building permits increased
18.1 percent over-the-year, rising by 189 permits
during the period. Single-family attached units
increased 112.5 percent to 17 permits in July 2020.
Multi-family units fell 65.3 percent, or by 470 permits,
to a total of 250 units in July.
• According to a report from RENTCafé and Yardi
Matrix, apartment developers are expected to deliver half as many apartments in Metro Denver in 2020
compared with the previous year, the second-largest decline in new apartment construction of any major
metro area. Nationally, apartment deliveries are expected to decrease 12 percent over-the-year. Yardi
Matrix anticipates 5,695 new apartment units will be added in 2020, down from 11,618 in 2019.
Residential Building Permits
Month of Month of Month of YTD Total YTD Total YTD Total Total Total
Jul-20 Jun-20 Jul-19 2020 2019 % Change 2015 2010
Single-Family Detached Units 1,233 999 1,044 6,122 6,488 -5.6% 9,786 3,791
Single-Family Attached Units 17 44 8 146 113 29.2% 422 285
Multi-Family Units 250 850 720 3,517 4,858 -27.6% 9,061 1,478
Total Units 1,500 1,893 1,772 9,785 11,459 -14.6% 19,269 5,554
Source: U.S. Census Bureau.
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