Denver Industrial Real Estate: Front Range Distribution and Diverse Submarket Opportunities
Vice president Ryan Simpson leads Link Logistics’ industrial real estate leasing operations in the Denver market. With expertise spanning Denver's diverse industrial pockets—from bulk distribution near Denver International Airport to high-tech manufacturing corridors and infill last-mile warehouse space—Ryan helps businesses navigate a market characterized by local and regional demand. Link Logistics’ Denver portfolio serves companies ranging from small local businesses to major food and beverage manufacturers and third-party logistics providers operating in facilities up to 150,000 square feet. In this Q&A, Ryan discusses Denver warehouse space for lease—what drives demand, how submarkets serve different user types and why market conditions are shifting as new supply declines.
What are the main demand drivers for industrial real estate in Denver?
Ryan: Denver is more of an end-user, consumer-focused, last-mile market. It services the broader Front Range, so we do have some bigger food and beverage users opening large facilities. Companies like Pepsi, Lowe’s and Philip Morris have all completed major build-to-suit projects here recently.
But a lot of demand is also driven by regional and local tenants—smaller end users that focus locally and regionally rather than on national distribution.
We have Amazon with a huge presence here—they're the largest operator with facilities ranging from a 3.5-million-square-foot building down to less than 50,000 square feet throughout the Front Range. Beyond Amazon, our biggest 3PL operations are typically around 800,000 square feet, but the market is very active for anything under 20,000 square feet serving local needs. So, it's really both ends of the spectrum. We don’t have as many large bulk users over 500,000 square feet like you see in Pennsylvania, Dallas or the Inland Empire because we’re not a through-distribution hub.
What Denver warehouse submarkets serve bulk distribution and third-party logistics companies?
Ryan: The East Airport market, right by Denver International Airport and east of downtown, is where you find heavy distribution and bulk space. A lot of third-party logistics operators and major distribution users locate there.
Most of the product is newer—that's where the majority of new construction has happened over the last 15-20 years. The land isn't infill, so you have room for larger facilities. That's where companies like Pepsi and Philip Morris just completed their build-to-suits. All the heavy 3PL activity and bulk warehouse operations happen in the East Airport market.
Where do smaller businesses and last-mile operations locate in Denver?
Ryan: North and Central Denver, closer to downtown, cater to smaller users prioritizing workforce access and connectivity. That's your last-mile logistics, small-bay users and flexible industrial tenants who need to be closer to the urban core and labor pool.
South Central is also a local infill market serving light industrial, last-mile and local/regional users. It's characterized by smaller spaces and proximity to residential areas for businesses that need quick access to customers.
Which Denver industrial submarkets attract high-tech and manufacturing companies?
Ryan: The northwest and southeast markets are geared toward higher-end tenants—aerospace, high-tech manufacturing, life sciences, and premium food and beverage operations. These submarkets attract companies that need specialized facilities and access to educated workforces.
Your submarket choice largely depends on your workforce needs. If you're a big manufacturer or distributor, you might draw employees from Aurora, or out east near the airport. But if you're an aerospace, high-tech or life sciences company, you probably want to be closer to Boulder or the south—where the workforce is more concentrated.
What emerging industrial real estate trends should businesses know about in Denver?
Ryan: There's definitely been a flight to quality. With significant new supply delivered since 2020, we've seen tenants migrating to higher-end buildings with better property specifications—higher clear heights, more power, ESFR sprinkler systems. Class A facilities with modern amenities are commanding stronger demand.
Market conditions are also shifting. Vacancy probably peaked last year and has been stabilizing. Warehouse rental rates have stabilized as well and will likely start increasing because there's been a dramatic drop in new construction. We have approximately 3 million square feet under construction right now in Denver, down from a peak of around 10 million square feet in 2021.
With deliveries subsiding, we're definitely going to see the market tighten. The fourth quarter of 2025 actually had the highest leasing volume of any quarter that year, and early 2026 activity has been solid. So, fundamentals are improving.
For smaller tenants looking for spaces under 15,000 or 20,000 square feet, availability is tighter. Those spaces are typically in infill markets, and new development doesn't serve that size range well. New 100,000- or 200,000-square-foot buildings typically get demised down to maybe 40,000 square feet at the smallest. If you're a smaller tenant looking for under 20,000 square feet, you're probably looking at older product in infill locations, and those markets tend to be tighter from a vacancy standpoint.
How does Link Logistics support companies looking for warehouse space in Denver?
Ryan: We can support customers in several ways. With Link Logistics’ scale, we're present in many different submarkets with diverse building sizes and product types. We can accommodate tenants looking for as small as 7,500 square feet up to about 150,000 square feet. We don't have a lot of bulk product over that range, but within that spectrum we have strong coverage.
We offer different building types—from Class B with lower clear heights all the way to Class A with 32-foot clear heights, ESFR systems and heavy power for advanced users.
We've accommodated tenants looking to grow by expanding within buildings or relocating to larger facilities within our portfolio. We've also worked with national customers operating in other Link Logistics markets like Chicago and Atlanta, helping them establish or expand in Denver when they're looking to enter this market. Those inbound calls from customers we serve elsewhere are valuable opportunities to continue supporting their growth.
Looking ahead, what makes Denver attractive for businesses evaluating warehouse space?
Ryan: The market is returning to healthier fundamentals. With new supply dropping dramatically and leasing activity picking back up to historical averages, conditions are improving for landlords and tenants alike.
Denver serves multiple models. You can operate locally and regionally, serving the Denver metro area. You can also distribute along the Front Range to markets like Fort Collins, Colorado Springs and into Wyoming. Larger operations use Denver for manufacturing and regional distribution throughout this corridor along I-25 and I-70.
The submarket diversity gives businesses options based on their specific needs—whether you need bulk space near the airport, infill locations for last-mile delivery, or specialized facilities near educated workforces for high-tech or life sciences operations.
With vacancy stabilizing and rates poised to increase as supply tightens, businesses should evaluate their Denver needs now while optionality still exists. The window of tenant-favorable conditions from the oversupply period is closing.
Explore available warehouse and distribution space in Denver to learn more about industrial real estate opportunities in the central United States.
