Despite a quarterly slowdown, demand in Colorado Springs has regained its footing—net absorption through the first three quarters of 2025 has outpaced new supply, marking a clear shift from the supply-heavy conditions of 2023 and early 2024.
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Near-term supply pressure is easing, with just 856 units under construction. The slowdown in starts—driven by higher financing costs and tighter lending—will translate into fewer completions over the next 12 to 24 months, supporting a more balanced market ahead.
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Class A properties face the greatest rent pressure, as ongoing lease-ups rely on upfront concessions and short-term specials that have pulled effective rents below stabilized competitors.
