As we inch towards the end of the 2019/20 ski season, history suggests that we will likely see increased activity in the commercial real estate market. Inventory is relatively low which has pushed pricing up, however extremely low interest rates are giving investors increased purchasing power.

Two new developments will add fresh inventory, with units still available for purchase. SwedWood, a luxury mixed-use project on Yampa Street that includes two retail/commercial units and Steamboat Lofts at Riverside, with five commercial office spaces on the west end of town, will both be completed this year.

Several industrial lots remain available within city limits and pose as attractive investment opportunities. “Now might be a smart time for investors to consider a new industrial development,” said Ron Wendler, a Broker/Owner with Colorado Group Realty. “Small, owner occupied units seem to be in high demand.”

Live/work units continue to prove popular with buyers. Only three live/work units are currently on the market with asking prices ranging from $1.1M to $1.8M. Three warehouse units are also listed in the $400K to $500K range. Planning is in place for future developments but nothing has yet been released into the market.

In Q1 of 2020, average list prices of commercial properties had not changed much since 2019.  Current prices per square foot average around $300 for an office, $380 for retail space, $225 for a live/work unit and $185 for a warehouse only.

As a resort market, Steamboat tends to be less susceptible to national trends. It remains to be seen what impact the current threat of coronavirus, the volatility and dip in the stock market and the impending election will have.