CREJ

Page 2 — Office & Industrial Quarterly — December 2020 www.crej.com Contents Letter from the Editor W ith all the changes in 2020, one that we’re excited about at the Colorado Real Estate Journal is what’s happening with this quar- terly. After six years as Office Prop- erties Quarterly, we’ve decided to expand the coverage and renamed it Office & Industrial Quarterly. This inaugural issue sets the stage for what we anticipate will be a long and thriv- ing publication. The publication still will focus on market trends and analysis, shar- ing recaps of past quarters, offering expectations for coming months and highlighting interesting insights from brokers, developers, owners, investors, designers, contractors and a whole host of other industry folks. The first half of the issue will include articles that examine office proper- ties and the second half’s articles will explore industrial assets. This edition mails with the last CREJ of 2020, so there are great market recaps within and a lot of reporting to do, given what an unprecedented year it has been. The article on Page 12 touches best on how the global pandemic is not felt the same by all. While hotel and retail have been hit the hardest, the surge in working from home undoubtedly impacted the office market. As we look to 2021 and vaccines, those involved in office real estate seem to be cautiously optimistic that things will again adapt, this time in a more favorable way. The need for office space has shifted this year, and it won’t likely go back to the way it was – but nei- ther has the importance of social interactions and teamwork been clearer either. I anticipate a lot of articles in the coming year sharing research about how the workplace will evolve, but also a lot of articles about demand for these properties increasing again. While there’s no “winner” in a year like 2020, industrial could make a decent counter argument. Every wave of the pandemic has impacted industrial properties. When people were ordered to stay home, e-commerce sales went through the roof. Even as restric- tions eased, many still were appre- hensive and continued to grocery shop online, increasing demand for cold-storage warehouse space like never before. And now, with a vaccine in sight, the distribu- tion and storage will require even more industrial space and access. As Drew McManus writes on Page 26, industrial workers are essen- tial workers who have been far too often overlooked. Their work has allowed the rest of us to enjoy any semblance of normalcy this year. As we take a collective sigh of relief and send 2020 on its way, authors in this issue acknowledge that there still will be quite a bit of uncertainty in the year ahead, but the disposition seems sunnier. Michelle Z. Askeland maskeland@crej.com 303-623-1148, Ext.104 Industrial joins office quarterly 4 6 8 10 12 14 19 20 22 23 24 25 A bumpy 2020 makes its impact felt on office assets Thevin Campton Northern CO office sector predicted to outperform Ron Kuehl and Jamie Globelnik How to combat the suburban investment slump John Becker Are you solving for the virus – or for future work? DrewThomas, Hadley Cox & Hank Co x Environmental assessments offer recovery insights Dianne Crocker Stories of Denver businesses bullish on space Alexander F. Becker 2020 industrial market: Back t o the future? Brad Calbert Despite slowdown, market already picking back up Tim Morris and Michael Coppola Denver industrial market: A decade of solid growth James D. Cochran Identifying opportunities amid disruption for 2021 John Bauknight 2020 reflections & what the new year may bring Kevin Kelley Industrial real estate is having a moment – or is it? Jessica Ostermick Industrial spaces play a role in COVID-19 response Drew McManus Warehouse distribution is trending in Northern CO Joe Palieri Investors will buy property before it’s built or leased Jeremy Records Denver offers bright future for manufacturers Tyler Reed Tech-oriented industrial users are on the rise Andrew Holmberg and Hannah Cope Logistics real estate risk in the age of COVID-19 Paul J. Ruff Commerce City's location drives project demand Tom Kooiman & Stephanie Eichmeyer The importance of site readiness for development Stephanie Henley Big data is an unprecedented resource to lower risk Robert Cords and Victor Donald Effectively use design tech to benefit development Matt Chaiken and Chris Strawn 5 factors that impact industrial construction price s Charlie McLean Be a pro: Assemble your construction team early Chris Alcorn 26 28 29 30 30 31 31 32 32 34 35 36