Quarterly Economic Summary
Aurora’s economy reported strengthening economic conditions through the second quarter of 2015. The
Aurora unemployment rate fell 1.1 percentage points over-the-year to 4.7 percent. Employment levels
throughout Metro Denver rose 3 percent compared with the previous year, representing a 46,000-worker
increase over the previous year’s level. The natural resources and construction and the education and health
services supersectors reported the largest percentage increases in employment between the second quarters of
2014 and 2015, rising 11.1 percent and 5.6 percent, respectively.
Aurora’s home sales continued to improve through the second quarter of the year and the apartment rental market
continued to tighten. Sales of existing homes rose over-the-year for the fifth consecutive quarter, reaching 2,314
total sales in the second quarter of 2015. Apartment vacancy rates fell in three of the six Aurora submarkets, and
all six submarkets reported increases in the average rental rate.
As for commercial real estate, each of the four property types – office, industrial, flex, and retail – reported
vacancy rates that were lower during the second quarter of 2015 than the second quarter of 2014. All four
property types continued to record increases in the average lease rate over-the-year. Aurora’s industrial and retail
markets continued to add rentable square footage to the market during the second quarter of 2015 compared with
the prior year, with the retail market adding nearly 74,740 square feet.
Aurora Economic Headlines
 American Financing Corp. leased a 52,000-square-foot office building in Aurora with room to hold 320
employees. The mortgage company plans to hire 100 employees in Denver who will be licensed in multiple
states.
 TransFirst LLC, one of the nation’s largest secure-payment processors, plans to hire 100 employees at its
Broomfield and Aurora locations.
 Green Chef is an Aurora-based startup that delivers prepackaged organic meals to customers’ doorsteps. The
company plans to quadruple its production space in a new Aurora facility and plans to open a production hub
in the mid-Atlantic region to serve the East Coast. The company opened in September 2014 with six
employees and now has more than 60 workers. The company plans to hire between 65 and 100 more people by
the end of the year.
 The Colorado School of Public Health received a five-year, $8.1 million grant from the Centers for Disease
Control. The grant will support the Mountain and Plains Education and Research Center to educate students at
the University of Colorado Anschutz Medical Campus and Colorado State University. The grant applies to
master’s and PhD-level programs in industrial hygiene, occupational ergonomics, occupational health physics,
and occupational health psychology. The program is expected to help train over 100 students.
 U.S. News and World Report ranked the University of Colorado Hospital (UCH) as the top hospital in
Colorado. Eleven of the hospital’s specialties also ranked in the top 50 national programs in their respective
areas. The hospital’s affiliated pulmonology program at National Jewish Health was ranked second, the
highest ranked program for UCH. The other nationally ranked programs at UCH were cancer (15th),
nephrology (12th), orthopedics (25th), neurology and neurosurgery (26th), diabetes and endocrinology (30th),
urology (30th), gynecology (31st), cardiology and heart surgery (40th), gastroenterology and GI surgery
(42nd), and geriatrics (43rd).
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 Forbes ranked Denver the nation’s best place for business and careers. The Denver-Aurora metropolitan
statistical area (MSA) ranked number one for the first time, rising from fourth place on the 2014 list. The
company stated that the area is attractive for its diverse economy, highly educated labor force, and outdoor
recreational opportunities. Raleigh, N.C. was ranked second followed by Portland, Ore., Provo, Utah, and
Atlanta, Ga.
 Area Development magazine ranked the country’s cities for economic and job growth in their annual “Leading
Locations for 2015” list. The list ranked the Denver-Aurora MSA first, the Greeley MSA third, and the
Boulder MSA ninth. The report analyzed 373 MSAs across 21 economic and workforce indicators including
unemployment rates, wage growth, and job growth. A spokesperson for the magazine stated that the leading
locations are MSAs that have invested in themselves to create skilled workers and pro-business environments
and that many of the areas have strong educational assets.
 According to the 2015 National Green Building Adoption Index, Denver ranked sixth for green office space.
The report stated that nearly half of all leasable office space in the Denver area is in energy-efficient,
sustainable buildings, which is 10 percentage points higher than the national average. Minneapolis-St. Paul,
Minn. ranked first followed by San Francisco, Calif., Chicago, Ill., Atlanta, Ga., and Houston, Texas.
Employment and Unemployment
Employment—Metro Denver reported second quarter 2015 employment of 1.6 million, rising 3 percent above
the previous year’s level. This represented an increase of 46,000 jobs over-the-year. The natural resources and
construction supersector reported the largest over-the-year increase in employment (+11.1 percent). Both the
natural resources and construction and the education and health services supersectors created 10,500 jobs overthe-year, the most of the sectors in Metro Denver. The other services and government sectors reported
employment increases over-the-year, rising 5.2 percent and 3.8 percent, respectively. The information sector
continued to record the only decline in employment, falling 4.8 percent between the second quarters of 2014 and
2015. Nine of the 11 supersectors reported over-the-quarter employment growth, with the leisure and hospitality
supersector (+5.4 percent) recording the largest increase. Colorado employment rose 2.5 percent over-the-year,
creating 62,200 jobs, while U.S. employment rose 2.2 percent.
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Manpower Employment Outlook Survey— Hiring expectations in the U.S. continued to rise through the third
quarter of 2015. The percentage of employers planning to increase employment levels rose 2 percentage points
between the third quarters of 2014 and 2015 at the national level, while the Metro Denver level remained
unchanged over-the-year. Companies planning to increase staffing levels during the third quarter reached 26
percent in Metro Denver. The majority of Metro Denver companies intend to maintain staff levels through the
third quarter of the year, increasing 9 percentage points from the previous year.
Manpower Employment Outlook Survey
National
Metro Denver
3Q 2015
2Q 2015
3Q 2014
Companies Hiring
26%
23%
26%
24%
22%
22%
Companies Laying
Off
1%
4%
1%
4%
8%
4%
Companies No
Change
73%
70%
71%
72%
64%
71%
Unsure
0%
5%
2%
2%
2%
3%
Unemployment—The average unemployment rate
for the second quarter of 2015 in Aurora declined
compared with the previous year, falling 1.1
percentage points to 4.7 percent. The unemployment
rate in Aurora was 0.3 percentage points lower than
the first quarter (5 percent) of 2015. Aurora’s second
quarter unemployment rate was the lowest second
quarter level since the second quarter of 2007 when
the rate was 4.4 percent.
Both Adams County and Arapahoe County posted
declines in their unemployment rates between the
second quarters of 2014 and 2015. Adams County
(4.8 percent) recorded an over-the-year decrease of 1
percentage point, while Arapahoe County (4.2
percent) reported a 0.8 percentage point decline
during the same period. Metro Denver recorded an
unemployment rate of 4.1 percent, the lowest second
quarter level since the second quarter of 2007. The
second quarter unemployment rate was 0.8
percentage points lower than the previous year. The
U.S. unemployment rate also declined 0.8 percentage
points over-the-year to 5.3 percent.
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Consumer Activity
The Conference Board – Consumer confidence fell
during the second quarter of 2015, decreasing 5
percent over-the-quarter to 96.2 for the U.S. index.
However, the U.S. index recorded a 15.3 percent
increase in consumer confidence between the second
quarters of 2014 and 2015. The Mountain Region
index, which includes Colorado, also decreased
compared with the first quarter of 2015. The
Mountain Region index decreased to 106.8, an overthe-quarter decrease of 2.4 percent, but the index
rose 20.4 percent over-the-year.
Aurora Sales Tax Collection—Sales tax
collections throughout Aurora were 7.4 percent
higher during the second quarter of 2015 ($40.3
million) than the second quarter of 2014.
However, the second quarter was 2 percent lower
than the first quarter, as the first quarter included
collections from December’s holiday shopping.
(Note: The two charts, Aurora Retail Sales by Industry
and Aurora Sales Tax Collections, do not necessarily
reflect the same tax base, so trends may differ.)
Retail Trade Sales—Aurora recorded a 6.4 percent
increase in retail trade sales between the fourth
quarters of 2013 and 2014. The general
merchandisers industry reported the largest total sale
increase over-the-year, selling an additional $19
million, an increase of 6.2 percent. Ten of the 13
industries reported growth in sales in the fourth
quarter of 2014 compared with the previous year.
During the period, electronics and appliance retailers
posted the largest percentage increase in retail sales,
rising 32.1 percent. The non-store retailers, service
stations, and food and beverage industries reported
over-the-year declines in sales, falling 36.7 percent,
9.6 percent, and 2.5 percent, respectively.
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Fourth quarter retail trade sales in Metro Denver
were 6.6 percent higher than the prior year’s level.
Eleven of the thirteen retail trade industries recorded
increases in sales between the fourth quarters of
2013 and 2014. The largest over-the-year increase
was reported by miscellaneous retailers, rising 26.3
percent. The motor vehicle industry reported the
largest total increase in retail sales, selling an
additional $343 million, representing a 13.7 percent
increase over-the-year. The service stations and food
and beverage industries recorded declines in retail
sales during the period, falling 12.6 percent and 6.7
percent, respectively.
Denver International Airport—
Spokespeople for Denver International Airport
reported that passengers through the second
quarter of 2015 were nearly unchanged from
the passengers recorded through the second
quarter of 2014. The airport served nearly 13.6
million passengers during the second quarter of
2015, 2,615 more passengers than the previous
year.
Rocky Mountain Lodging—The South and
Southeast Denver markets ended the second
quarter with a hotel occupancy rate of 87.5
percent, 18.3 percentage points higher than the
end of the previous quarter. The market’s average
room rate was $128.90 per night. The Northeast
market reported an occupancy rate of 92.8
percent and an average room rate of $117.80 per
night, nearly 16 percent higher than the prior
quarter. Metro Denver reported a hotel occupancy
rate of 88.7 percent and an average room rate of
$141.95 per night.
Residential Real Estate
Existing Home Sales—Total sales in Aurora during the second quarter of 2015 (2,314) were 11.8 percent higher
than sales reported in the second quarter of 2014, reflecting the sale of 244 additional homes. Single-family
attached home sales (condominiums and townhomes) increased 23.5 percent over-the-year to 761 sales. Singlefamily detached home sales rose 6.8 percent to 1,553 sales.
 Metro Denver reported 15,561 total home sales during the second quarter of the year. The second quarter
sales level was 0.6 percent higher than the previous year and 59.4 percent higher than the first quarter of
2015.
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
The average sales price for homes in Aurora rose at a faster pace than Metro Denver during the second quarter
of 2015. However, Aurora average sale prices are lower than the Metro Denver average. The Aurora average
sales price for single-family detached homes was $100,300 lower than the Metro Denver level, while the
Aurora single-family attached average home price was $86,780 lower than the Metro Denver level.
Average Home Prices
2Q 2015 2Q 2014
Aurora
Single-Family Detached
Single-Family Attached
Metro Denver
Single-Family Detached
Single-Family Attached
Yr/Yr
% Ch
$317,802 $268,791 18.2%
$172,244 $147,999 16.4%
$418,106 $373,219 12.0%
$259,019 $227,542 13.8%
Note: Due to a change in the Metrolist system, data in this report may not be
comparable w ith prior editions.
Source: Recolorado.
Residential Building Permits—Building permits
issued in Aurora continue to be heavily concentrated
in the single-family detached market, recording five
consecutive quarters of only single-family detached
permits issued. Aurora issued 343 total single-family
detached permits during the second quarter 2015
compared with 270 permits issued the second quarter
2014. Aurora reported a 27 percent increase in total
building permits during the second quarter of 2015
compared with the same period the prior year.
Second quarter permits were also 87.4 percent higher
than the first quarter 2015.

Metro Denver issued 4,901 total building
permits during the second quarter 2015
compared with 3,812 permits during the
second quarter 2014. Metro Denver recorded a
28.6 percent increase in total building permits
during the second quarter of 2015 compared
with the prior year. Second quarter permits
were also 21.1 percent higher than the prior
quarter.
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Apartment Vacancy—During the second quarter of 2015, the apartment vacancy rate for three of the six Aurora
submarkets decreased.
 The largest over-the-year decrease was in the Aurora-Central Northeast submarket, where the vacancy rate
fell 2.2 percentage points to 2.2 percent. Aurora-South and Aurora-Central Southwest also reported overthe-year declines, falling 1.2 percentage
points and 0.9 percentage points, respectively.
Apartment Vacancy and Rental Rates
The Aurora-North submarket reported the
Vacancy (%)
Rent
Rent
largest over-the-year increase in vacancy,
2Q 2015 2Q 2014 2Q 2015 2Q 2014
rising 9.5 percentage points. The AuroraAdams County
3.9%
4.5% $1,179 $1,024
Aurora-North
10.4%
0.9%
$803
$781
Central Southeast and Aurora-Central
5.0%
4.6% $1,224 $1,067
Northwest submarkets also reported over-the- Arapahoe County
Aurora-Central Northeast
2.2%
4.4% $1,055
$865
year increases, rising 2.1 percentage points
Aurora-Central Northwest
5.8%
4.1% $1,235 $1,049
and 1.7 percentage points, respectively.
Aurora-Central Southeast
5.5%
3.4% $1,123
$952
 The vacancy rate was 0.6 percentage points
Aurora-Central Southwest
3.3%
4.2% $1,115
$960
lower in Adams County (3.9 percent), but 0.4
Aurora-South
4.8%
6.0% $1,235 $1,065
percentage points higher in Arapahoe County Metro Denver
4.5%
4.7% $1,265 $1,117
(5 percent) between the second quarters of
Source: Apartment Association of Metro Denver,
2014 and 2015. The vacancy rate in Metro
Denver Metro Apartment Vacancy and Rent Survey.
Denver fell 0.2 percentage points over-theyear to 4.5 percent.
Apartment Rental Rates—All of the Aurora submarkets reported growth in the average rental rate between the
second quarters of 2014 and 2015. Aurora-Central Northeast ($1,055) and Aurora-Central Southeast ($1,123)
reported the largest over-the-year increases in the average rental rate, rising 21.9 percent and 18 percent,
respectively. The Aurora-North submarket reported the smallest increase over-the-year, rising 2.8 percent to $803
per month. In Metro Denver, the average rental rate increased 13.3 percent over-the-year to $1,265, marking the
21st consecutive quarter of increase in the average apartment rental rate.
Foreclosure Activity— Adams and Arapahoe Counties reported declines in foreclosure activity through the
second quarter of 2015 compared with the prior year. However, the two counties reported over-the-quarter
increases in foreclosure activity, with Adams County rising 6.2 percent and Arapahoe County rising 37.9 percent
during the period.
 Total foreclosure filings reported in Metro Denver during the second quarter of 2015 were 28 percent lower
than second quarter of 2014, but rose 21.8 percent compared to the first quarter of 2015.
Foreclosures
Adams Arapahoe Metro
County County Denver
2Q 2015
206
1Q 2015
194
2Q 2014
293
Yr/Yr % Change -29.7%
269 1,015
195
833
355 1,410
-24.2% -28.0%
Sources: Colorado Division of Housing and county
public trustees.
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Commercial Real Estate
Commercial Activity—The Aurora commercial real estate market improved across all four property types
through the second quarter of 2015. The office market vacancy rate declined 2.9 percentage points over-theyear, while the average lease rate rose 4.3 percent to $17.06 per square foot. The retail market reported the
smallest decrease in the vacancy rate over-the-year, falling 0.6 percentage points, while the industrial market
reported the largest increase in the average lease rate (+ 41.8 percent).
 Metro Denver also recorded declining vacancy and rising average lease rates across all property types
between the second quarters of 2014 and 2015. The largest increase in average lease rate was in the
industrial market, growing 18.4 percent to $6.63 per square foot. Office and flex space reported the largest
declines in vacancy rate, both falling 1.1 percentage points over-the-year.
Commercial Vacancy and Lease Rates by Property Type
Total Existing
Square Footage
Direct Vacancy
Rate
Avg Lease Rate
(per sq. ft.)
2Q 2015
2Q 2014
2Q 2015
2Q 2014
2Q 2015
2Q 2014
Office
City of
Metro
Aurora
Denver
9,753,460 175,471,697
9,753,460 174,208,084
11.8%
9.8%
14.7%
10.9%
$17.06
$23.56
$16.35
$22.44
Industrial
Flex
City of
Metro
City of
Metro
Aurora
Denver
Aurora
Denver
24,364,069 205,795,063 2,473,123 41,837,221
24,355,894 204,075,293 2,473,123 40,990,386
4.0%
2.9%
8.4%
8.1%
5.3%
3.7%
9.3%
9.2%
$5.94
$6.63
$8.11
$10.31
$4.19
$5.60
$6.67
$9.77
Retail
City of
Metro
Aurora
Denver
20,779,109 160,917,085
20,704,370 159,798,352
4.3%
5.0%
4.9%
5.7%
$13.53
$15.78
$13.09
$15.47
Source: CoStar Realty Information, Inc.
Note: lease rates for industrial, flex, and retail property are triple-net. Office rates are full-service.
Written in August 2015 by:
Development Research Partners, Inc.
10184 West Belleview Ave, Ste 100
Littleton, Colorado 80127
303-991-0070
www.developmentresearch.net
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