Acknowledgments. Special thanks to public- and private-sector financial contributors: Arapahoe County. City of Arvada.

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2 Acknowledgments Preparation of this report has been financed in part through grants from the U.S. Department of Transportation, Federal Transit Administration and Federal Highway Administration. Special thanks to public- and private-sector financial contributors: Arapahoe County City of Arvada City of Boulder City of Centennial City of Commerce City City and County of Denver City of Englewood City of Lakewood City of Louisville Colorado Department of Local Affairs, Division of Housing Regional Transportation District Thornton Gateway Property, LLC City of Thornton City of Westminster City of Wheat Ridge Page i

3 Appendix G: Economic Conditions at Time of Survey. This section outlines the economic conditions in Denver at the time of the business survey. These conditions may influence business decisions and commute behavior and are noted as context for current and, especially, future analyses. Denver region economic condition summary through 2008/Q1 2009: The nation, Colorado, and the Denver region are experiencing an economic downturn unprecedented in the past 70 years. The downturn has affected multiple aspects of the economy including employment, access to credit, migration into the state, and patterns of homeownership. As of the end of the first quarter 2009 the region s non-seasonally adjusted unemployment rate stands at 8.0 percent. This is up from 7.71 percent a month ago, and has nearly doubled from its rate of 4.68 percent in March of On a seasonally adjusted basis, the region (excluding Clear Creek and Gilpin counties, for which data were not available) has lost 51,200 jobs since March 2008, the majority of which were lost in late 2008 and early Since the beginning of this year the region has lost 17,600 jobs, an average of just under 5,900 jobs per month. Although the rate of seasonally adjusted job loss declined between February and March of 2009, uncertainty about the local economy remains. In times of uncertainty, it often helps to look to indicators and economic trends that suggest the future. Up though 2008 the region continued to gain population year over year, suggesting desirability for the region beyond economic conditions. The majority of the indicators below (S&P performance, consumer confidence, sales tax collections, etc,) have turned sharply down over the past year, however, there are some, such as housing, showing signs of better performance for the region against the nation. The Case & Shiller Home Price Index has the Denver region performing better than the 10 city composite. This is primarily due to Denver not experiencing the rapid housing price escalation that many other cities, particularly Las Vegas and Miami, experienced. In addition, residential building permits have declined to a point where new vacant inventory should have a chance to absorb into the market and find equilibrium with the resale market. Finally, foreclosures have decreased from the highpoint in 2007, but should be carefully monitored since the full effects of the unemployment rates have yet to be felt in the housing market. Overall the Denver region has appeared through indicators and anecdotal accounts to be faring better than the nation through this recession, but unemployment always lags recovery so weaknesses in the local market could still be felt beyond the traditional measure of positive economic growth. Page 271

4 Population Source: Colorado State Demographer Source: Colorado State Demographer Page 272

5 Employment Source: Colorado Department of Labor & Employment Source: Colorado Department of Labor & Employment Page 273

6 Unemployment Gross Domestic Product (GDP) Source: Colorado Department of Labor & Employment Source: Bureau of Economic Analysis Page 274

7 Personal Income/Consumption Source: Bureau of Economic Analysis Source: Bureau of Economic Analysis Page 275

8 Market Performance Source: Standard & Poors Inflation Source: Bureau of Labor Statistics Page 276

9 Sentiments Source: Conference Board Cost of Living Source: Council for Community and Economic Research Page 277

10 Lending Rates Source: Wall Street Journal Prime Rate/Freddie Mac Housing Source: National Association of Home Builders Page 278

11 Source: Macro Markets Case & Shiller Index Source: National Association of Home Builders Page 279

12 Source: US Census Bureau Source: US Census Bureau Page 280

13 Source: US Census Bureau Source: Colorado Division of Housing Page 281

14 Source: Colorado Division of Housing Page 282

15 Tax Coffers Source: Colorado Division of Property Taxation Source: Colorado Department of Revenue Page 283

16 Oil & Gas Source: Energy Information Administration Source: Energy Information Administration Page 284