Coronavirus—it’s impossible to turn on the TV or get on social media without a flood of content regarding this topic. There is already a substantial amount of information floating around all indicating wildly different outcomes. Since predicting the future is impossible, it’s hard to know what the coming days hold for the market. With an economic slow-down that has already begun, one begins to look at the potential effects a global health crisis may have on commercial real estate here in Denver.
The Retail Division will be the most impacted by the virus. With a location more isolated than cities such as New York City or Los Angeles, Denver has been relatively sheltered from the initial shock. Depending on the spread, concern over infection could cause consumers to stay indoors and limit their shopping. This could possibly disrupt economic activity, resulting in businesses stepping back and the repercussions being felt in the commercial real estate retail sector.
With all of that being said, the projected impacts are still expected to be minimal. There will be a short-term recoil felt in more tourism-dependent cities – but Denver is set to weather the storm and move along steadily over time.
