2019 TOD Status Report Introduction This Report Provides an Update on Transit-Oriented Development (TOD) in the Regional Transportation District (RTD)

2019 TOD Status Report Introduction This report provides an update on transit-oriented development (TOD) in the Regional Transportation District (RTD). Highlights of this report include: • A significant amount of development in the region has occurred within the station influence area (half-mile radius from RTD’s stations) • Development within the station influence area continues at a strong rate Mariposa – 10th Osage • 2019 accounted for the most multifamily TOD deliveries ever • 2019 office TOD deliveries are below 2018 figures, but remain strong

Ride at RiNo – 38th•Blake Station

2 Table of Contents

1. What is TOD? 2. RTD TOD data 3. TOD trends over time 4. TOD trends by corridor 5. Highest rent station areas 6. Value creation 7. Denver Union Station 8. Top stations for TOD 9. TOD Database summary

3 What is Transit-Oriented Development? Per RTD’s TOD Strategic Plan (2010): What enables TOD? • More compact and dense development • Real estate market - creates greater demand for development within a 10-minute walk or ½-mile • Zoning - higher densities allow more people to live & work near transit distance around transit facilities compared • Infrastructure/Access - critical for all developments to existing development patterns in the • Jurisdiction Interest/Incentives - local governments can same area incentivize TOD by providing financial incentives, density bonuses, or • A mix of uses — either horizontal or infrastructure vertical — usually including residential, • Lot size and ownership - larger lots & fewer land owners facilitate retail, and office employment TOD • High-quality, pedestrian-oriented urban • Time - station areas may need time to mature design and streetscapes

Windsor at Broadway Station – I-25•Broadway Station Depot Square – Boulder Junction Lofts at Lincoln Station – Lincoln Station West Line Flats – Lamar Station

4 RTD TOD Data and Analysis This report analyzes two datasets: the RTD Development Database and the TOD Trend Tool.

RTD Development Database TOD Trend Tool Database actively managed by RTD staff that tracks Tool that analyzes property data from a national developments near RTD stations; has a narrower database (CoStar); has a broader definition of definition of TOD: TOD: • Distance - development must be within a half-mile • Distance - development must be within a walk of station half-mile radius of station • Type of Development - development must adhere • Type of Development - includes all to TOD principles properties, regardless of characteristics • Scale - only larger scale developments are included • Scale - all multifamily/office developments are included, regardless of scale The RTD TOD Database and TOD Trend Tool provide the data needed to understand how and where development occurs in relation to transit. This data is analyzed in different ways, providing many helpful outputs, including: • TOD vs non-transit development • Development trends over time and by corridor/station • Development by corridor/station Solana – Olde Town Arvada Station Catalyst – 38th•Blake Station

5 Key Findings

0.6% of land area in Denver/Boulder Metropolitan Statistical Areas (MSA) is within a half-mile of an RTD station area.

Since 2005, those station areas have captured:

25% of multifamily* development

31% of office* development

*Excludes DUS, downtown Denver, and Boulder. When DUS, downtown Denver, 6 and Boulder are included, multifamily equals 43% and office equals 55%. Multifamily TOD Deliveries by Year

st • Significant uptick in multifamily deliveries since 2014 Zia – 41 •Fox Station • 2019 had the most TOD units delivered ever • Many deliveries expected in 2019 were pushed back to

2020 due to construction delays Oxford Station Apartments – Peña Station Apts – Oxford•City of Sheridan Station 61st• Peña Station

5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 Residential Units 1,000 500 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Year Source: RTD Development Database

7 Retail TOD Deliveries by Year

• Significantly more retail deliveries since 2014 • 2019 had the most TOD retail deliveries since 2009 • More than 1.5 million square feet of retail has been built or is planned within a half-mile walk of RTD stations Whole Foods – Union Station Alamo Drafthouse – US 36 & Sheridan Station • Retail deliveries projected to continue in 2020 and 2021

250,000

200,000

150,000

100,000 SquareFeet

50,000

0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Year Source: RTD Development Database

8 Office TOD Deliveries by Year • 2018 had the most office deliveries in last 20 years • Office deliveries dropped off in 2019 but are expected to increase in 2020 and 2021 • Over 11 million square feet of office has been built or is planned within a half-mile walk of RTD stations

One DTC West – Belleview Station Davita HQ – Union Station

3,000,000 2,500,000 2,000,000 1,500,000

SquareFeet 1,000,000 500,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Year Source: RTD Development Database

9 Multifamily TOD Deliveries by Corridor • The Central, L Line, and W Line corridors had significant multifamily deliveries in 2019 • The CU A Line and R Line corridors each have more than 2,000 planned multifamily units • 40% of total Downtown Denver multifamily inventory growth between 2005 and 2019 was built within a half-mile of Union Station Arista Uptown – US 36 & Broomfield The Henry – I-25•Broadway Station

9,000 8,000 7,000 6,000 5,000 4,000 3,000 Residential Units Residential 2,000 1,000 0 B Line Central Central CU A Line Denver Flatiron G Line L Line N Line R Line Southeast Southwest W Line Platte Union Flyer Valley Station Existing 2019 Planned Source: RTD Development Database

10 Office TOD Deliveries by Corridor

• The CU A Line corridor had the most office deliveries in 2019 • The CU A Line and Southeast corridors have the most planned office deliveries

FBI Office – Central Park Station HUB – 38th•Blake Station

4,000,000 3,500,000 3,000,000 2,500,000

Square Feet 2,000,000 1,500,000 1,000,000 500,000 0 B Line Central Central CU A Line Denver Flatiron G Line L Line N Line R Line Southeast Southwest W Line Platte Union Flyer Valley Station Existing 2019 Planned Source: RTD Development Database

11 Highest Office Rents

• Southeast corridor has the highest office rents • Lower rents on A, G, R, and W Lines • Note: Downtown Denver stations (except DUS) excluded from analysis

Train Denver – 38th•Blake Station Granite Place – Arapahoe at Village Center Station Source: TOD Trend Tool

12 Highest Multifamily Rents

• Southeast corridor has the highest multifamily rents • W Line has the lowest rents • Note: Downtown Denver stations (except DUS) excluded from analysis

Two Nine North – Boulder Junction 21 Fitzsimons – Fitzsimons Station Source: TOD Trend Tool

13 Value Creation

Development around RTD stations has led to significant value creation of real estate in the District.

94 office properties constructed RTD’s nearly $500 million 87 multifamily properties between 2005 and 2019 with 8.1 investment in DUS catalyzed $3.5 constructed between 2005 and 2019 million square feet delivered* billion in development value with 18,421 units delivered*

Estimated Development Value 6 $5.4 billion* 5

4 $3.5 billion $2.8 billion* 3

1 Value Creation (billions$) Creation Value 0 Office Denver Union Station Multifamily *Excludes DUS, downtown Denver, and Boulder Source: TOD Trend Tool

14 DUS Real Estate Development DAVITA WORLD 16 CHESTNUT THE GRAND ALTA CITY HOUSE PANDO APARTMENTS HILTON 1900 16th STREET 1601 WEWATTA HEADQUARTERS (2018) (2018) (2015) (Proposed) GARDEN INN (2009) (2015) (2012) 19 Story Office, 12 & 24 stories, 508 5 Story, 281 12 Story, 222 (2019) 17 Story Office, 10 Story Office 14 Story Office Retail Apartments, Retail Apartments Apartments 233 keys Retail & Living Space Building, Retail, Parking 1 2 3 4 5 6 7 8

CADENCE APARTMENTS UNION DENVER (2013) (2017) 4 5 13 Story, 219 Apartments, 579 Apartments, 2 3 6 • 3,000 residential units Retail & Parking Whole Foods Market 1 • 1.9 million SF office 9 10 12 8 9 14 • 7 10 250,000 SF retail 11 • 750 hotel rooms 13

UNION TOWER WEST ASHLEY UNION STATION 17 18 THE PULLMAN ALARA (2017) (2017) (2020) (2015) 203 keys, 100K Office, 4 Story, 107 Apartments 15 16 14 Stories, 3K Retail, 313 Apartments, 10K Retail (Affordable) 164 Apartments King Soopers Grocer 11 12 13 14

20 19 21 DDA District COMPLETED IN 2019

DUS MET PLANNED/ District UNDER CONST HOTEL BORN & TRIANGLE BUILDING 1881 OFFICE PLATFORM COLORADAN S. WING BUILDING DUS HISTORIC BUILDING N. WING BUILDING (2015) (2017) (2015) (2019) ONE UNION STATION (2014) (2013) 11 Story Office, 200 keys, 5 Story 21 Story, 334 Condos, (2014) 112 Room Crawford Hotel 5 Story Office, Retail, Retail Office & Retail 287 Apartments 28K Retail 5 Story Office, Retail & Retail Restaurants & Parking 15 16 17 18 19 20 21 Top 10 Stations for TOD*

Total TOD Number of Total TOD Number of Office (sq ft) Properties Residential (units) Properties 1 Union Station 1,885,994 9 1 20th/Welton 4,147 19 2 Arapahoe at Village Center 1,417,000 5 2 Union Station 2,628 8 3 Sky Ridge 800,000 1 3 Dry Creek 1,977 8 4 38th/Blake 615,000 5 4 Belleview 1,924 7 5 Dry Creek 506,587 4 5 Lincoln 1,810 7 6 Boulder Junction 440,000 3 6 US 36 & Broomfield 1,693 5 7 Belleview 390,000 2 7 25th/Welton 1,687 8 8 Colorado 220,000 1 8 I-25/Broadway 1,475 6 9 Lincoln 197,000 1 9 Sky Ridge 1,142 5 10 Decatur-Federal 175,000 1 10 Boulder Junction 848 6

Changes in 2019 include one new development at Union Changes in 2019 include three new developments at Station (+49k SF) and one at 38th/Blake (+90k SF). 20th/Welton (+894 units), one at Union Station (+312 units), one at 25th/Welton (+281 units), and one at I-25/Broadway (+403 units).

* Excludes Downtown Denver and Downtown Boulder Stations Source: RTD Development Database

16 TOD Database Summary Resi. Units Office S.F. Retail S.F. Hotel Keys Central 3763 423,000 69,000 - Investment in transit has had a significant impact Central Platte Valley 119 - - 150 on development in the region. CU A Line 3,107 2,451,800 366,800 905 Existing and planned TOD within ~1/2 mile walk of a high frequency station*: Flatiron Flyer 4,480 740,000 243,200 414 • 46,500 Residential Units G Line 2,327 - 4,000 136 • 10,800,000 Square Feet Office • 1,600,000 Square Feet Retail Northwest 651 - 8,486 - • 4,000 Hotel Rooms R Line 4,867 401,700 198,500 976

Southeast 9,780 4,307,579 304,358 559

Southwest 1,738 155,000 - -

L Line 7,706 224,192 113,400 41

W Line 4,310 175,000 - 128

Denver Union Station 3,014 1,885,994 257,593 748 *Downtown Denver and Boulder excluded Source: RTD Development Database