The vacancy rate for apartments in the Grand Junction market climbed to its highest level on recent record, largely because of a deteriorating employment scene that crushed demand for such units.

A survey released Thursday by the Colorado Division of Housing found that vacancy rates for multi-family units or apartments in the area surged to 13.2 percent in the fourth quarter of 2009.

That marked an increase of more than 10 percent from the fourth quarter of 2008, when the vacancy rate stood at 3.1 percent. The vacancy rate for multi-family units was 7.5 percent in the third quarter of 2009.

The most recent rate was also the highest quarterly figure in any year that was referenced in the survey for the Grand Junction market. The survey dated back to 1996.

The previous high of 10.1 percent was recorded in the first quarter of 2003.

“It is related to employment — the lack of,” said Gordon E. Von Stroh, a professor at the University of Denver, on the driver of higher rates in the area.

He researched and authored the survey.

The Grand Junction area employment market suffered mightily last year amid a dramatic pullback in oil and gas activity that helped fuel the largest percentage of job losses in the nation in 2009.

The area ended the year with a jobless rate of 8.9 percent in December, up from 4.7 percent in December 2008. That was also the highest in the state for a metropolitan area in 2009.

As a result vacancy rates surged as some people could no longer afford to rent their units while others simply left the area.

The largest increase was with three-bedroom units where the vacancy rate leaped to 23.8 percent from 2.3 percent. The vacancy rate for two-bedroom, one-bath units rose to 13.4 percent from 3.2 percent.

The vacancy rate for one-bedroom units climbed to 12.9 percent from 3.7 percent. The two-bedroom, two-bath category increased to 11.8 percent from 3 percent.

On the bright side, rising vacancy rates and less demand helped push down the average apartment rent in the area to $633.46 in the fourth quarter of 2009 from $666.22 in the fourth quarter of 2008, the survey showed.

Pueblo had the second highest vacancy rate among large metropolitan areas in the state at 12.2 percent, up from 7.2 percent. The Fort Collins-Loveland area had the lowest at 6.3 percent.

While the year ended on a down note there does seem to be some signs the rental market, at least in Grand Junction, is picking up.

Cindy Hoppe, commercial property manager for Bray Real Estate in Grand Junction, said leasing activity is on the rise. Movement in the retail sector appears to be the catalyst for at least some of the activity.

“I think we are going into spring with … pretty healthy momentum,” she said.

Reach Wyatt Haupt Jr. at whaupt@gjfreepress.com.