2nd Quarter 2026 Castle Rock
In the second quarter of 2026, Castle Rock’s commercial real estate market continued to show strong fundamentals across several property sectors. Multi-family, office and industrial vacancy all improved from the previous quarter, while retail remained exceptionally tight. NavPoint Real Estate Group’s latest market update reflects continued demand and improving occupancy across much of the Castle Rock market.
Multi-Family Market:
The multi-family sector reported an average lease rate of $2.08 per square foot and a vacancy rate of 9.1%. Lease rates increased from $2.05 per square foot in the first quarter, while vacancy declined significantly from 11.4%, indicating improved absorption and stronger occupancy conditions.
Retail Market:
Retail remained one of Castle Rock’s strongest-performing sectors, posting an average lease rate of $27.62 per square foot and an exceptionally low vacancy rate of just 0.90%. Lease rates increased from $27.47 per square foot in the previous quarter, while vacancy remained below 1%, highlighting extremely limited availability and continued demand for retail space.
Office Market:
Office properties recorded an average lease rate of $33.29 per square foot and a vacancy rate of 3.5%. While lease rates declined from $34.09 per square foot in the first quarter, vacancy improved from 4.1%, reinforcing the strength of Castle Rock’s office market and its limited availability.
Industrial Market:
The industrial sector reported an average lease rate of $16.43 per square foot and a vacancy rate of 11.4%. Lease rates declined slightly from $16.59 per square foot in the previous quarter, while vacancy improved from 12.6%. Although availability remains elevated compared with other sectors, the continued decline in vacancy suggests gradual absorption and improving conditions.
Overall, Castle Rock continued to show positive momentum in the second quarter of 2026. Retail remained exceptionally tight, while multi-family and office experienced meaningful improvements in occupancy. Industrial vacancy also continued to decline, signaling further stabilization after the elevated levels seen in late 2025. These trends reinforce Castle Rock’s position as an active and evolving commercial real estate market.
