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T he apartment landscape in metro Denver has changed tremendously over the past decade. Construction of new multifamily assets has added 58,000 units of inventory to the market since 2010. This new supply has developers looking for innova- tive ways to make their communi- ties stand out among the competi- tion and increase their bottom line. We have seen four distinct trends evolve in Denver, highlighting this multifamily model represented below. 1. Micro-units. When it comes to micro-units, the name says it all. Micros have all the comforts and amenities of tra- ditional units but in a smaller floor plan, generally under 500 square feet compared with the typical 850-sf units found at urban multi- family communi- ties. RiDE Apart- ments is a great case study. RiDE was developed by McWhinney in 2018 and consists of 84 studio apartments averaging 455 square feet. These smaller floor plans pro- vide an opportuni- ty to cut down on development costs and land costs, while increasing density. Addition- ally, developers can unlock smaller land sites in highly desirable locations that would not be feasible to develop with a traditional unit mix. Renters have shown an appetite for these units as well. Micro-units offer a renter the opportunity to live in trendy neighborhoods, without having to pay the large rents commanded by traditional units in those areas. RiDE Apartments offers an average rental rate of $1,250 per month, while the average rental rate of other Class A multifamily communities in River North reach $2,000 per month. 2. Co-living. Co-living, a concept that has succeeded in pricier rental markets like San Francisco and New York City, is a new approach to Den- ver. The co-living model offers resi- dents a blend of private and semi- private space with their units. For example, one could rent a private Please see Page 29 INSIDE An examination of how local growth restric- tions in Colorado impact affordability Growth restrictions Guidelines for assembling the correct team for a low-income housing tax credit development Affordable housing PAGES 33-39 What to know when handling a request for an emotional support or service animal Support animals PAGE 26 May 2019 Chris Cowan Executive managing director, Newmark Knight Frank PAGES 10 How multifamily models are evolving Craig Ratterman Financial and research analyst, Newmark Knight Frank As apartment construction continues at a fevered pitch, developers are exploring new living arrangement trends popular in other parts of the country in order to make projects stand out.