(Ed Note: This is the first in a series of two articles exploring the booming areas just northwest of downtown Denver from our neighborhood expert Realtors. This first one is authored by new newest bloggers, Jamie and Brian Harris.)
The Lo-Hi and Highlands neighborhoods located northwest of downtown Denver continues to experience remarkable growth. As more and more residential development arises, we continue to see the influx of new restaurants, bars, and retail.
The three well known commercial districts have contributed to this ongoing boom. Those districts are: Highlands Square (located at West 32nd Avenue and Lowell Blvd.), Tennyson Street (located at West 44th Avenue and Tennyson Street) and Lower Highland (located between Federal Blvd. and I-25 with a concentration along West 32nd Avenue and Zuni Street and East of Tejon Street towards downtown).
A review of sold data within the 80211 zip code from the Denver MLS presents information that illustrates the rapid growth and desirability of the Highlands. The current median estimated home value in 80211 is $299,060. According to MLS metrics, this is a 9.79% increase over the last 12 months. The median list price for homes in 80211 is $350,000. This is also an increase of 11.11% over the last 12 months. In the last month alone, the median list price has increased 4.03%! Keep in mind that the list price is what a home is offered for sale at, not what it will sell for but that increase is still something to take note of.
I realize data can be viewed a variety of different ways to present a case one way or another. The statistic that the median estimated home value increased almost 10% in 80211 is one not to be ignored. So what would cause that increase? Historically low interest rates in 2012 attributed to an increase in buyer traffic all over Denver. We saw buyer activity in 2012 eat up most of the standing inventory in metro areas including the Highlands. What I think the largest factor contributing to this increase in the median estimated home value is all the new development going on in Lower Highland that is pushing the price of the original single family homes that once filled the landscape. We are seeing more and more town home projects offered in the $400,000 to $650,000 price point. Because more of this product is selling, I believe these sales have directly contributed to this significant increase in the median home value.
Looking ahead, developers can’t seem to keep up with the current demand for new, modern town homes and condos within walking distance to the commercial districts mentioned above. For example, LoHi Row is a twelve unit town home development located west of Tejon Street along West 32nd Avenue . LoHi Row, sold 11 of their units pre-construction in 2012 without ever being marketed in the Denver MLS! Their last remaining unit went under contract in December of 2012. Their expected completion is March /April of 2013.
Just around the corner from LoHi Row at 32nd and Vallejo Street is LoHi Court. LoHi Court is an eighteen unit town home project by Koelbel Urban Homes, an off-shoot of Koelbel and Company . Twelve of the eighteen town homes were reserved by buyers on the first day before the project even broke ground.
If you feel like you missed out in 2012, 2013 promises even more opportunities for those looking to move into Lower Highland.
If you have questions about the Highlands, Lower Highland, Downtown or any other metro Denver neighborhoods, I would love to hear from you. Please use the contact form on this page to reach me immediately for any questions you have about Denver real estate.