Colorado-Real-Estate-Journal_474481

Page 28 - August 6-19, 2025 www.crej.com Law & Accounting Managing Shareholders Jennifer Stenman and Amy Ruhl 720.975.0466 ·  reinhartlaw.com Deep Experience. Insightful Counsel. Reinhart, a nationally recognized law firm with strong ties to Denver’s development community, is dedicated to helping clients successfully navigate today’s most important commercial real estate issues. Spencer Fane LLP | spencerfane.com 1700 Lincoln Street, Suite 2000 Denver, CO 80203 © 2024 Spencer Fane LLP. The choice of a lawyer is an important decision and should not be based solely on advertisements. Structuring a wide variety of real estate transactions nationwide , our Real Estate Transactions team advises on everything from standard purchases and sales and commercial leases to sophisticated like-kind exchanges under Section 1031 of the tax code and opportunity zone projects. Our attorneys help individuals and companies across a spectrum of industries to understand and manage risk as they decide whether to proceed with a transaction opportunity related to the purchase, sale, development, and exchange of real estate. Closing deals as smoothly and ef ciently as possible. We advise on a wide range of transactions, including those involving raw land, partially developed property, commercial buildings, of ce buildings, retail shopping centers, hotels and resorts, medical and research facilities, industrial facilities, manufacturing facilities, warehouses, apartment complexes, student housing, condominiums, senior housing, independent and assisted living, and single and multifamily developments. C olorado’s property own- ers and managers are no strangers to innovation. Whether it’s transforming underutilized parcels into thriving mixed-use hubs or pushing the envelope on sustainable design, this industry has long shaped the physical and economic fabric of our state. Now, there’s a new frontier where real estate owners can play a major role in Colorado’s child care crisis. Today, a lack of accessible, affordable child care in the Denver area is one of the biggest barriers to economic growth and work- force participation. Families are forced to make impossible choices as they navigate parenthood, an increasing cost of living and their careers at the same time. Zoom- ing into the conversation on the revitalization and reactivation of the downtown Denver city core, here’s what we know: • The licensed child care capac- ity in the downtown Denver area can serve up to 630 children (ZIP codes 80202, 80204 and 80265). Approximately 152,000 members of the downtown Denver work- force commute to work. • Access to licensed child care in Denver County is extremely lim- ited, with existing programs able to serve only 11% of infants and 17% of toddlers needing care. This shortage is compounded by high costs: The average annual cost of infant care statewide is $19,573, placing a sub- stantial finan- cial burden on families. For example, in a two-parent h o u s e h o l d where both parents earn $50,000 a year, infant child care alone could con- sume 20% of their household income. • Studies estimate 20%-25% of workers depend on child care to participate in the labor force. Using a conservative estimate of 15% for downtown Denver – accounting for a younger, more part-time workforce – and assum- ing one-third of those parents pre- fer child care near their workplace (as opposed to the 50% average, due to a higher share of hybrid or part-time workers staying closer to home), we can estimate a need for approximately 7,500 child care slots in downtown Denver alone. • It’s reasonable to conclude that downtown Denver current- ly needs thousands more child care slots – likely a minimum of 5,000 – to meet current workforce needs. If the goal is to attract and retain more families in downtown, that number will need to be even higher. The result? Employers are losing out on top tal- ent in the Den- ver area. Local communities are struggling to attract and retain young professionals. These chal- lenges impact and sit square- ly within the real estate community. Real estate property owners and managers have a unique and powerful opportunity to help close this gap. We can design and build essential child care infrastructure to support working families. In doing so, property owners and managers don’t just address a social need – they create a busi- ness advantage. That’s the idea behind a grow- ing movement in Colorado. This idea is championed by leaders like Executives Partnering to Invest in Children (a nonprofit founded and supported by the business community that addresses child care challenges for the workforce) in partnership with Greenberg Traurig LLP (a law firm that assists national and regional developers, retailers, institutional owners, and investors in real estate and gen- eral business matters). Together, EPIC and Greenberg Traurig are advancing innovative, tangible models for integrating early child- hood spaces into new develop- ments – and making a strong case for why the real estate industry should lead the charge. Here’s how it can work for you: n Colocating child care within commercial development proj- ects. By integrating child care centers into office buildings, retail spaces or mixed-use develop- ments, employers and employees alike gain greater access to con- venient, high-quality child care, which can improve workforce par- ticipation – especially among par- ents. This proximity reduces com- muting stress, promotes work-life balance and increases productivity by giving parents peace of mind. For developers and property own- ers, on-site child care enhances the attractiveness and marketability of commercial spaces, potentially increasing tenant retention and property value. Additionally, it fosters more inclusive and fam- ily friendly urban environments, contributing to vibrant, resilient communities. n Creative leasing and incen- tives. Property owners can offer below-market lease rates, flexible terms and tenant improvement allowances to child care provid- ers, recognizing the long-term community benefit and econom- ic return of stable, on-site care options. n Employer-sponsored and shared-use models. In urban areas, where space is at a premi- um, shared-use models are gain- ing traction. Think: facilities that serve as child care centers dur- ing the day and community hubs in the evenings or on weekends. With thoughtful planning and cross-sector collaboration, these kinds of models can be both cost- effective and scalable. n Adaptive reuse for child care. Some forward-thinking property owners and managers are converting underutilized retail or office space into early learning facilities, bringing life and utility back into vacant buildings while addressing a critical infrastructure need. Real-world impact: Local organizations that redefine workplace child care Across Colorado, organizations are reimagining how child care can be integrated into the work- place – and EPIC has played a key role in bringing these visions to life. At Denver International Air- port, EPIC collaborated with air- port leadership to co-locate a small child care center within the new Center of Equity and Excellence in Aviation, a workforce develop- ment and training facility. This on- site center is designed to support aviation workers by providing Solving our child care crisis: Real estate’s next frontier Nicole Riehl President and CEO, Executives Partnering to Invest in Children Neil Oberfeld Shareholder, Greenberg Traurig LLP Please see Riehl, Page 30