Denver Restaurant Market Overview
$7 billion
Market Size
4,500+
Restaurants
400+
New/Year
$1.2 million/year
Avg Revenue
715,000 (city) / 2.9 million (metro)
Population
$72,000
Median Income
Denver Restaurant Startup Costs
Small Restaurant
Small cafe or quick-service (under 30 seats)
$140,000 - $320,000
Medium Restaurant
Casual dining restaurant (30-80 seats)
$320,000 - $700,000
Large Restaurant
Fine dining or large venue (80+ seats)
$700,000 - $1,800,000
* Costs vary by neighborhood, concept, and build-out requirements
Best Neighborhoods for Restaurants in Denver
Location is everything. Here are the top neighborhoods for different restaurant concepts.
RiNo (River North)
Best For:
Trendy dining, breweries
LoDo (Lower Downtown)
Best For:
Sports bars, upscale casual
LoHi (Lower Highlands)
Best For:
Brunch, neighborhood spots
Cherry Creek
Best For:
Fine dining, wine bars
Capitol Hill
Best For:
Dive bars, casual ethnic
Required Licenses and Permits in Denver
Retail Food Establishment License
Denver Environmental Health permit
Business License
Denver business license
Liquor License
Beer/wine or tavern license
Food Handler Certification
ServSafe or equivalent
Patio Permit
Outdoor dining approval
Building Permit
For tenant improvements
Monthly Operating Costs in Denver
Rent
$3,000 - $15,000/month
Labor Cost
28-35% of revenue
Minimum Wage
$14.42/hour (Denver)
Food Cost
28-34% of menu price
Utilities
$900 - $3,000/month
Insurance (Annual)
$9,000 - $25,000/year
Popular Cuisines in Denver
Opportunities in Denver
- Active outdoor lifestyle crowd
- Strong craft beer culture
- Growing tech sector
- Convention tourism
- Legal cannabis brings visitors
Challenges in Denver
- High altitude affects cooking
- Competitive craft beer market
- Seasonal tourism
- Tight labor market
- Rising real estate costs
Insider Tips for Denver
- 1High altitude (5,280 ft) affects baking and cooking times
- 2Craft beverage program is expected
- 3Patio season is shorter than expected
- 4RiNo is the hottest food neighborhood
- 5Consider food hall concepts