(MNCAR) Annual Report - Transwestern

Minnesota Commercial Association of REALTORS ®
Minnesota Commercial Association of Real Estate
2012
Annual Market Report
Reporting for 2011
www.mncar.org

2012 MNCAR
Annual Market Report
Reporting for 2011
“We’re happy to make our MNCAR Annual Market Report available for the sixth
consecutive year. Data was provided by the MNCAR Exchange and reviewed for
accuracy by the industry experts listed below. We hope it provides you with another
tool to better serve your clients and stay informed on the state of the market.”
- Dara Rudick, Executive Director
Special thanks to the following MNCAR Market Experts for volunteering to review market data:
OFFICE
Nils Snyder - Chair
Colliers International
|Minneapolis-St. Paul
Aaron Barnard
Cushman &
Wakefield/NorthMarq
Jason Butterfield
Cushman &
Wakefield/NorthMarq
Larissa Champeau
Cushman &
Wakefield/NorthMarq
Matt Delisle
Colliers International
|Minneapolis-St. Paul
Brian Helmken
CBRE
Mike Honsa
Transwestern
Jim Kenney
CBRE
Jim Montez
Cushman &
Wakefield/NorthMarq
Eric Rapp
Colliers International
|Minneapolis-St. Paul
INDUSTRIAL
Tom Stella
Cushman &
Wakefield/NorthMarq
Mark Stevens
Cassidy Turley
Brian Wasserman
CBRE
Duane Poppe - Chair
Transwestern
Ryan Bartley
Paramount
Real Estate
Aaron Sillanpa
Colliers International
|Minneapolis-St. Paul
RETAIL
Tom Sullivan
Cushman &
Wakefield/NorthMarq
David Daly - Chair
Cushman &
Wakefield/NorthMarq
Jesseka Doherty
Mid-America
Jen Helm
Cushman &
Wakefield/NorthMarq
Joe Mahoney
HJ Development
Andy McConville
CBRE
Skip Melin
Cushman &
Wakefield/NorthMarq
Dan Mossey
Kraus Anderson
Zach Stensland
Colliers International
|Minneapolis-St. Paul
Tony Strauss
Colliers International
|Minneapolis-St. Paul
Molly Townsend
Cassidy Turley

Annual Office Market Report
VACANCY RATES AND ABSORPTION BY SUBMARKET
500,000
477,453
22.4
25
Square Feet
400,000
300,000
200,000
100,000
376,026
14.3
14.8
100,125
17.4
18.3
25,794
15.3
89,673
20
15
10
% Vacant
0
(100,000)
(200,000)
(173,232)
Mpls CBD SE SW SP CBD SP
Suburban
W & NW
5
0
Buildings For Sale
BUILDING SIZE 0-10,000 SF 10-25,000 SF 25-50,000 SF 50-100,000 SF 100,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
4
24
1
26
3
60
92
81
123
414
AVAILABLE BUILDING INVENTORY – SALE & LEASE
Number of Availabilities by Submarket
4
23
1
9
5
28
56
42
54
222
4
8
1
2
1
9
12
17
15
69
3
0
1
2
1
1
2
3
7
20
5
1
2
1
2
2
3
0
3
19
Spaces For Lease Including Contiguous
BUILDING SIZE 0-10,000 SF 10-25,000 SF 25-50,000 SF 50-100,000 SF 100,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
668
318
231
66
106
456
789
1381
792
4807
174
45
61
19
12
68
129
206
157
871
68
10
26
5
6
32
47
86
87
367
22
3
17
3
3
17
25
46
50
186
10
0
11
0
0
10
9
19
28
87
This report is using a new method of counting available spaces for lease. Historical listing counts from the previous year’s report are not being
used. The new counts are more accurate and reflect the high standard of data accuracy supported by our new Exchange system.
Listing counts are totaled by the market areas used on the MNCAR Exchange system. These boundaries differ from those published in this report
and used for vacancy and rate reporting.

Annual Office Market Report
35.0
VACANCY RATES BY SUBMARKET
30.0
25.0
29.4
27.6
% Vacant
20.0
15.0
22.7
17.4
18.5
15.9
19.3
17.0
20.6
19.1
18.1
10.0
5.0
9.2
14.3
12.8
11.6
14.7
11.9
10.3
0.0
Mpls CBD SE SW SP CBD SP
Suburban
Class A Class B Class C
W & NW
AVERAGE QUOTED NET RENTAL RATES BY CLASS
20
15
15.23
Rental Rate ($)
10
11.82
11.65
5
0
Class A
Class B
Class C

Annual Office Market Report
2011 MARKET OVERVIEW
Avg Quoted
MARKET Total Universe SF Vacant SF % Vacant Net Absorption SF Rate ($) Avg Op Exp/SF Avg Taxes/SF
Mpls CBD
Class A
Class B
Class C
Totals
12,837,284
7,733,280
7,105,431
27,675,995
1,178,333
1,755,509
1,018,892
3,952,734
9.2
22.7
14.3
14.3
185,769
(32,227)
222,484
376,026
16.61
11.49
10.90
12.16
7.78
7.91
6.67
7.38
4.67
2.74
2.50
3.08
Southeast
Class A
Class B
Class C
Totals
2,460,689
2,977,049
876,096
6,313,834
313,914
518,775
102,004
934,693
12.8
17.4
11.6
14.8
30,594
68,879
652
100,125
13.85
11.79
11.52
12.29
6.39
5.57
5.53
5.80
3.92
2.85
2.43
3.09
Southwest
Class A
Class B
Class C
Totals
8,019,220
5,392,503
1,262,178
14,673,901
1,175,541
999,069
371,454
2,546,064
14.7
18.5
29.4
17.4
604,909
(53,754)
(73,702)
477,453
15.16
11.50
10.23
12.61
7.62
7.33
5.90
7.23
4.29
3.31
3.03
3.68
St. Paul CBD
Class A
Class B
Class C
Totals
2,549,185
4,105,224
453,631
7,108,040
405,126
1,132,969
54,175
1,592,270
15.9
27.6
11.9
22.4
53,715
(230,527)
3,580
(173,232)
12.29
10.62
10.21
10.86
8.64
7.45
6.46
7.71
3.44
7.48
1.34
5.82
St. Paul Suburban
Class A
Class B
Class C
Totals
1,367,125
3,617,659
1,436,542
6,421,326
263,415
614,089
296,123
1,173,627
19.3
17.0
20.6
18.3
7,646
42,763
(24,615)
25,794
14.87
12.01
13.28
12.95
38.63
5.76
5.35
16.48
22.90
3.32
2.04
9.85
West & Northwest
Class A
Class B
Class C
Totals
4,957,318
5,357,924
1,699,284
12,014,526
508,370
1,026,001
307,138
1,841,509
10.3
19.1
18.1
15.3
221,248
(65,081)
(66,494)
89,673
16.58
12.71
13.09
13.76
7.78
7.16
6.65
7.21
4.62
3.39
2.32
3.50
TOTAL MARKET
Class A
Class B
Class C
32,190,821
29,183,639
12,833,162
3,844,699
6,046,412
2,149,786
11.9
20.7
16.8
1,103,881
(269,947)
61,905
15.23
11.82
11.65
12.04
6.85
6.27
7.11
3.48
2.48
TOTALS
74,207,622
12,040,897
16.2
895,839
12.68
8.28
4.43
NOTABLE OFFICE SALES TRANSACTIONS
PROPERTY SIZE (SF) PRICE/TYPE CITY BUYER SELLER AGENTS INVOLVED
MoneyGram Tower
1550 Utica Ave S
1600 Tower
1600 Utica Ave S
9320 Excelsior Blvd
Two MarketPointe
4400 78th St W
601 Tower at Carlson Center
601 Carlson Pkwy
The Colonnade
5500 Wayzata Blvd
UnitedHealth
13625-13675 Technology Dr
One Financial Plaza
120 6th St S
1201 Northland Dr
Minnetonka Corporate
Campus I, II and III
6000 Clearwater Dr
12800-12900 Whitewater Dr
419,000
268,000
236,000
288,458
355,797
450,000
393,902
87,344
232,622
$71,140,000
$69,500,000
$60,600,000
$54,400,000
$51,980,000
$50,000,000
$23,610,000
$14,150,000
$11,430,000
Saint Louis
Park
Hopkins
Bloomington Artis REIT
Minnetonka
Golden
Valley
Eden Prairie
Minneapolis
Mendota
Heights
Minnetonka
Blackstone Group
Hines Global REIT
KBS REIT II
DRA Advisors LLC
UnitedHealth Group
NEH 1 LLC
SNH Medical Office
Properties Trust
Liberty Property Trust
Duke Realty Corp
Cargill Inc
Two MarketPointe LLC
TIAA-CREF
TIAA-CREF
Tyco
LNR Partners
1201 Northland Drive, LLC
The Allstate Corp
No agents involved. Part of national portfolio
sale.
Tom Holz, Steve Buss and Ryan Watts of CBRE
represented the sellers.
Tom Holz, Steve Buss and Ryan Watts of CBRE
represented the sellers.
KBS Capital Advisors represented the buyer;
Tom Holtz, Steve Buss and Ryan Watts of CB
Richard Ellis represented the seller
Tom Holz, Steve Buss and Ryan Watts of CBRE
represented the sellers.
Roger Christensen of Jones Lang LaSalle
represented the buyer; Dan Gleason and
John McCarthy of Cushman & Wakefield/
NorthMarq represented the seller.
Bob Pounds, Tim Prinsen and Nils Snyder of
Colliers International (Welsh) represented the
seller.
Tom O’Brien of Cushman & Wakefield
represented the seller
Brad Butler of Liberty Property Trust
represented the buyer; Scott Pollock, James
Jetland and Dan Gleason of Cushman &
Wakefield/NorthMarq represented the seller.
Wayzata Executive Park
Bldgs 1903, 1905 & 1907
101,716
$9,154,440
Wayzata
Continental Property
Group LLC
J.E. Robert Company
Mark Kolsrud, Kai Thomsen & Will Buckley of
Cassidy Turley represented the seller

Annual Office Market Report
GROUND RULES
• This report covers only pure, multi-tenant office buildings in excess of 20,000 square feet. It therefore does not include
medical office buildings, or buildings containing solely government offices.
• Properties that were designed to be multi-tenant are included in this report even if they have been leased entirely to
one tenant. Single tenant leased properties that were developed on a build-to-suit basis, and that would not function
well as multitenant properties, are not included in this report. Owner occupied properties are also not included in this
report.
• Rental rates are based on quoted net rates. Actual effective rates will vary.
• Sale listing counts include individual condo units as single listings. For instance, a 50,000 square foot building divided into
five 10,000 square foot condos, each with a separate For Sale listing, would contribute 5 listings to our listing count totals.
DEFINITIONS
• Existing Projects: Building construction completed prior to December 31st, 2011.
• Vacant space: Space that is unoccupied and not under lease.
• Absorption: The positive or negative difference in the amount of space occupied between December 31st, 2010 and
December 31st, 2011.
• Space that is physically occupied by a tenant prior to December 31st, 2011, but marketed for lease is considered
occupied space.
• Sublease space, either physically occupied or vacant, is considered occupied space in the universe until the lease
runs out.
• Space occupied by a tenant on a month-to-month lease that is also marketed for lease to a new, long-term tenant is
considered occupied space.
• The report does not track “shadow” space, or buildings that are leased by tenants who are not using the space but not
trying to sublease it.
• Contiguous space: Having a common boundary; space that is directly adjacent to another space or spaces.
• Average quoted rates were based on single, double, and triple net rates.

Annual Industrial Market Report
VACANCY RATES AND ABSORPTION BY SUBMARKET
600,000
20
500,000
537,305
16.5
Square Feet
400,000
300,000
200,000
9.0
9.8
10.6
364,781
13.2
15
10
% Vacant
100,000
179,816
169,513
5
0
East
Northeast
Northwest
87,279
Southeast
Southwest
0
Buildings For Sale
BUILDING SIZE 0-25,000 SF 25-50,000 SF 50-100,000 SF 100-200,000 SF 200,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
4
33
3
16
10
62
49
93
136
406
AVAILABLE BUILDING INVENTORY – SALE & LEASE
Number of Availabilities by Submarket
2
12
3
2
3
15
26
32
52
147
Spaces For Lease Including Contiguous
BUILDING SIZE 0-25,000 SF 25-50,000 SF 50-100,000 SF 100-200,000 SF 200,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
8
86
13
28
59
286
394
454
589
1917
5
18
6
6
12
62
59
91
131
390
1
13
0
3
0
10
15
28
29
99
4
10
4
8
7
18
24
46
57
178
0
2
0
0
1
2
9
7
6
27
0
5
1
1
5
6
14
13
36
81
0
1
1
0
2
0
7
4
3
18
0
2
1
0
0
0
7
4
8
22
This report is using a new method of counting available spaces for lease. Historical listing counts from the previous year’s report are not being
used. The new counts are more accurate and reflect the high standard of data accuracy supported by our new Exchange system.
Listing counts are totaled by the market areas used on the MNCAR Exchange system. These boundaries differ from those published in this report
and used for vacancy and rate reporting.

Annual Industrial Market Report
30.0
VACANCY RATES BY SUBMARKET AND PRODUCT TYPE
25.0
20.0
21.1
21.1
% Vacant
15.0
10.0
5.0
8.4
10.8
8.4
6.5
11.6
10.9
9.9
13.4
10.1
8.7
16.6
15.1
11.1
0.0
East Northeast Northwest Southeast Southwest
Bulk Warehouse Office Showroom Office Warehouse
AVERAGE QUOTED NET RENTAL RATES BY PRODUCT TYPE
10
8
9.43
8.91
8.88
Rental Rate ($)
6
4
4.26
4.52
4.20
2
Office
Warehouse
Office
Warehouse
Office
Warehouse
0
Bulk Warehouse
Office Showroom
Office Warehouse

Annual Industrial Market Report
2011 MARKET OVERVIEW
Total Avg Quoted Avg Op
MARKET Universe SF Vacant SF % Vacant Net Absorption SF Rate ($) Exp/SF Avg Taxes/SF
WH
Off
East
Bulk Warehouse
Office Showroom
Office Warehouse
Totals
3,121,526
1,965,257
2,683,575
7,770,358
260,727
212,065
224,430
697,222
8.4
10.8
8.4
9.0
143,620
(61,130)
97,326
179,816
3.61
4.18
4.65
4.28
7.95
11.08
10.95
10.90
0.73
2.38
2.34
2.20
1.10
2.01
1.83
1.84
Northeast
Bulk Warehouse
Office Showroom
Office Warehouse
Totals
8,702,574
4,127,723
20,184,836
33,015,133
565,142
478,309
2,192,921
3,236,372
6.5
11.6
10.9
9.8
130,279
44,332
362,694
537,305
4.46
4.34
4.12
4.20
9.57
9.18
8.69
8.89
1.12
1.50
1.26
1.30
1.62
2.29
1.65
1.80
Northwest
Bulk Warehouse
Office Showroom
Office Warehouse
Totals
10,656,984
4,848,050
13,802,464
29,307,498
1,056,836
651,440
1,396,773
3,105,049
9.9
13.4
10.1
10.6
30,893
26,438
307,450
364,781
4.41
4.62
4.12
4.30
8.95
9.42
9.15
9.19
0.98
2.05
2.70
2.17
1.64
2.35
1.77
1.92
Southeast
Bulk Warehouse
Office Showroom
Office Warehouse
Totals
7,660,828
4,090,865
6,882,744
18,634,437
1,617,920
863,071
595,453
3,076,444
21.1
21.1
8.7
16.5
146,001
(92,023)
33,301
87,279
4.14
4.46
4.28
4.34
8.58
9.04
8.61
8.81
4.04
1.76
1.25
2.06
1.30
1.94
1.77
1.76
Southwest
Bulk Warehouse
Office Showroom
Office Warehouse
Totals
4,588,592
5,958,953
12,890,603
23,438,148
761,644
900,070
1,431,236
3,092,950
16.6
15.1
11.1
13.2
(149,633)
(102,637)
421,783
169,513
4.15
4.67
4.29
4.42
8.62
9.53
8.77
9.08
1.55
2.15
1.68
1.84
1.40
2.10
1.74
1.84
TOTAL MARKET
Bulk Warehouse
Office Showroom
Office Warehouse
34,730,504
20,990,848
56,444,222
4,262,269
3,104,955
5,840,813
12.3
14.8
10.3
301,160
(185,020)
1,222,554
4.26
4.52
4.20
8.88
9.43
8.91
1.97
1.92
1.77
1.50
2.14
1.73
TOTALS
112,165,574
13,208,037
11.8
1,338,694
4.31
9.09
1.85
1.83
NOTABLE INDUSTRIAL SALES TRANSACTIONS
PROPERTY SIZE (SF) PRICE/TYPE CITY BUYER SELLER AGENTS INVOLVED
Diamond Lake 2 & 3
519,000 $34,200,000 Rogers 20015/20195 South Diamond TR Diamond Lake Corp Steven Buss, Tom Holtz, and Ryan Watts of CBRE
20015-20195 Diamond Lake Rd S
Lake Road Investors
represented the seller.
Evergreen Industrial Portfolio
Xenium Distribution Center
1105 Xenium Ln N
9000 109th Ave N
3880 4th Ave E
I-35 Business Center
2215-2219 Hwy 36 W
Rogers Distribution Center
13098 George Weber Dr
Continental Nitrogen Site
12955 Courthouse Blvd
Gateway Business Park
2420 Long Lake Rd
Plymouth Corporate Campus
1725-1797 Xenium Ln N
574,000
335,063
221,750
157,644
121,699
147,160
210,000
50 acres
101,072
83,617
$17,000,000
$16,050,000
$12,776,273
$8,250,000
$8,150,000
$6,900,000
$6,500,000
$6,100,000
$5,800,000
Roseville &
Shoreview
Plymouth
Champlin
Shakopee
Roseville
Rogers
Rosemount
Roseville
Plymouth
Travelers
Realty Associates Fund IX LP
Liberty Property Trust
Duke Realty Corp
Duke Realty Corp
Liberty Property Trust
Yocum Oil Company
Duke Realty Corp
Artis Real Estate Investment
Trust
Waterton Commercial &
Lehman Brothers Holdings Inc
Carlson Real Estate Co LLP
KBS Industrial Portfolio LLC
DCT MN Valley LLC
DCT MN Valley LLC
Artis Real Estate Investment
Trust
Continental Nitrogen
Resources
DCT MN Valley LLC
Plymouth Corp Campus LLC
Dan Russ and Duane Poppe of Transwestern
represented the seller.
Steve Buss of CBRE represented the seller.
David Jellison of Liberty Property Trust
represented the seller.
No agents. Portfolio purchase.
No agents. Portfolio purchase.
Steven Buss, Tom Holtz, and Ryan Watts of CBRE
represented the seller.
Lonnie Provencher of Cushman & Wakefield/
NorthMarq represented the seller.
No agents. Portfolio purchase.
Steve Nilsson, Peter Mork and Jason Simek of
Colliers International (Welsh) represented the
seller.

Annual Industrial Market Report
GROUND RULES
• Multi-tenant office warehouse, office showroom, and bulk warehouse buildings in excess of 25,000 square feet. Singletenant
leased properties that were developed on a build-to-suit basis, and that would not function well as multi-tenant
properties, are not included in this report. Owner occupied properties are also not included.
• Rental rates are based on quoted net rates exclusive of transaction costs. Actual effective rates will vary.
DEFINITIONS
• Existing Projects: Building construction completed prior to December 31st, 2011.
• Vacant space: Space that is unoccupied and not under lease.
• Absorption: The positive or negative difference in the amount of space occupied between December 31st, 2010 and
December 31st, 2011.
• Space that is physically occupied by a tenant prior to December 31st, 2011, but marketed for lease is considered
occupied space.
• Sublease space, either physically occupied or vacant, is considered occupied space in the universe until the lease
runs out.
• Space occupied by a tenant on a month-to-month lease that is also marketed for lease to a new, long-term tenant is
considered occupied space.
• The report does not track “shadow” space, or buildings that are leased by tenants who are not using the space but
not trying to sublease it.
• Contiguous space: Having a common boundary; space that is directly adjacent to another space or spaces.
• Average quoted rates were based on single, double, or triple net rates.
PROFILE OF PROJECT TYPES
Project Type Typical Tenant Size Clear Height Bay Depth Office/Showroom
Office Warehouse 7,000 Sq. Ft. + 16-24 Ft. 120-160 Ft. 10%-40%
Office Showroom 3,000 Sq. Ft. + 12-16 Ft. 80-120 Ft. 25%-75%
Bulk Warehouse 20,000 Sq. Ft. + 20+ Ft. 160-200 Ft. 0%-10%

Annual Retail Market Report
2,500,000
VACANCY BY CENTER TYPE
Square Feet
2,400,000
2,200,000
2,000,000
1,800,000
1,600,000
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
21.5
359,786
809,756
4.3
2,139,865
9.3
427,563
2.0
CBDs Community Neighborhood Regional
40
35
30
25
20
15
10
5
0
% Vacant
AVAILABLE BUILDING INVENTORY – SALE & LEASE
Number of Availabilities by Submarket
Buildings For Sale
BUILDING SIZE 0-10,000 SF 10-25,000 SF 25-50,000 SF 50-100,000 SF 100,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
1
47
2
26
8
59
52
61
97
353
4
12
1
3
1
27
23
26
51
148
Spaces For Lease Including Contiguous
BUILDING SIZE 0-10,000 SF 10-25,000 SF 25-50,000 SF 50-100,000 SF 100,000+ SF
2011 2011 2011 2011 2011
Minneapolis CBD
Minneapolis City
Saint Paul CBD
Saint Paul City
Midway
Northeast
Southeast
Southwest
Northwest
TOTALS
120
130
50
24
23
327
429
391
547
2041
10
10
4
4
3
27
54
42
70
224
This report is using a new method of counting available spaces for lease. Historical listing counts from the previous year’s report are not being
used. The new counts are more accurate and reflect the high standard of data accuracy supported by our new Exchange system.
Listing counts are totaled by the market areas and Center Types used on the MNCAR Exchange system. These differ from those published in this
report and used for vacancy and rate reporting.
1
2
0
0
1
7
4
8
16
39
2
1
2
2
1
7
14
7
39
75
2
0
0
0
0
3
3
4
7
19
0
1
0
0
0
2
9
4
24
40
0
1
0
0
0
6
8
0
8
23
0
0
0
0
0
1
2
0
0
3

Annual Retail Market Report
AVERAGE TOTAL EXPENSES BY CENTER TYPE
15.0
Expenses ($)
10.0
10.05
5.0
6.22
3.34
3.40
0.0
CBDs
Community
Neighborhood
Regional
QUOTED NET RENTAL RATES BY CENTER TYPE
30
Rental Rate ($)
20
10
20.43
19.93
15.22
22.43
0
CBDs
Community
Neighborhood
Regional

Annual Retail Market Report
2011 MARKET OVERVIEW
Avg Quoted
MARKET Total Universe SF Vacant SF % Vacant Rate ($) Avg Op Exp/SF Avg Taxes/SF
CBDs
1,674,692
359,786
21.5
20.43
10.05
3.51
Community
18,972,629
809,756
4.3
19.93
3.34
4.73
Neighborhood
22,935,143
2,139,865
9.3
15.22
3.40
3.93
Regional
21,034,726
427,563
2.0
22.43
6.22
6.14
TOTAL MARKET
64,617,190
3,736,970
5.78
16.47
3.83
4.16
These figures do not take sublease and “shadow” space into account.
NOTABLE RETAIL SALES TRANSACTIONS
PROPERTY SIZE (SF) PRICE/TYPE CITY BUYER SELLER AGENTS INVOLVED
Ryan Retail Portfolio
508,862 $28,300,000
Artis Real Estate Investment Ryan Cos. US Inc
(5 Shopping Centers)
Trust REIT
Fountain Place
8565 Fountain Pl
Calhoun Commons
3040 Excelsior Blvd
Rockridge Center
4445 Nathan Ln N
The Shoppes at Arbor Lakes
7900 Main St N
Brookdale Center
1100-1347 Brookdale Mall
Cahill Plaza
7810-7850 Cahill Ave
Jerry’s Food Building
5017 Vernon Ave S
Four Parcel Portfolio
8033 Knox Ave
1701 American Blvd W
1600 81st St
1601 American Blvd W
1180 Arcade St
109,513
66,150
128,000
85,359
625,000
69,000
20,000
25,712
14,490
$23,100,000
$21,020,000
$20,500,000
$9,906,905
$7,500,000
$6,600,000
$6,160,000
$5,900,000
$5,900,000
Minneapolis/
Saint Paul
Metro Area
Eden Prairie
Minneapolis
Plymouth Columbia II Rockridge
Center LLC
Maple Grove Arbor 15, LLC
Brooklyn
Center
Inver Grove
Heights
Edina
Bloomington Luther Automotive Group
St Paul
Sun Life Assurance Co
Regency Center
Corporation
Gatlin Development Co
Paster Enterprises
Vernon Properties LLC
(Semper Development)
Private family trust
EP-Minn LLC
Calhoun Commons LLC
HP 3 LLC
Opus Estates, LLC
Capmark Financial Group
Cahill Plaza LLC
Jerry’s Enterprises Inc
Knox Avenue Properties LLC
James Lupient
81st Street Properties
Unknown developer
Tom Holtz, Steven Buss and Ryan Watts of CB
Richard Ellis represented the seller.
No local agents involved.
Joe Gerardi of Mid-America Real Estate
represented the buyer; Kelly Doran of Doran
Companies represented the seller.
Joe Gerardi of Mid-America Real Estate
represented the buyer.
No agents involved.
Jim Leary, Steve Lysen and Andy McConville
of CB Richard Ellis represented the seller.
Howard Paster of Paster Enterprises
represented the buyer; Eric Bjelland and Leah
Truax of NorthMarq represented the seller.
Richard Hauser of Spectrum Development
Group represented the buyer; Darcy Winter of
D E Winter & Associates represented the seller.
Dick Friedrichs with Colliers International
| Minneapolis-St. Paul represented the
buyer; Joe Mahoney of H.J. Development
represented the seller.
Randy Blankstein and Jimmy Goodman of
The Boulder Group represented the buyer

Annual Retail Market Report
GROUND RULES
• Multi-tenant retail properties in the 7-county metro area in excess of 30,000 square feet.
• Rental rates are based on quoted net rates exclusive of transaction costs. Actual effective rates will vary.
DEFINITIONS
• Existing Projects: Building construction completed prior to December 31st, 2011.
• Vacant space: Space that is unoccupied and not under lease.
• Absorption: The positive or negative difference in the amount of space occupied between December 31st, 2010 and
December 31st, 2011.
• Space that is physically occupied by a tenant prior to December 31st, 2011, but marketed for lease is considered
occupied space.
• Sublease space, either physically occupied or vacant, is considered occupied space in the universe until the lease
runs out.
• Space occupied by a tenant on a month-to-month lease that is also marketed for lease to a new, long-term tenant is
considered occupied space.
• The report does not track “shadow” space, or buildings that are leased by tenants who are not using the space but
not trying to sublease it.
• Contiguous space: Having a common boundary; space that is directly adjacent to another space or spaces.
• Average quoted rates were based on single, double, or triple net rates.
PROFILE OF PROJECT TYPES
Regional Center: 800,000 square feet and up
Community Center: 150,000-399,999 square feet
Neighborhood Center: Up to 150,000 square feet
Central Business Districts of Minneapolis & St. Paul: Regardless of square footage

2012 Annual Market Report
MINNESOTA COMMERCIAL ASSOCIATION OF REAL ESTATE 2012 LEADERSHIP
PRESIDENT Tom Tracy Cushman & Wakefield/NorthMarq
PRESIDENT-ELECT/TREASURER Duane Poppe Transwestern
IMMEDIATE PAST PRESIDENT Brad Butler Liberty Property Trust
DIRECTORS Anna Coskran Nelson, Tietz & Hoye
Todd Hanson
Cushman & Wakefield/NorthMarq
Jen Helm
Cushman & Wakefield/NorthMarq
Mike Honsa
Transwestern
Jim Jetland
Cushman & Wakefield/NorthMarq
Andy McIntosh CSM
Stefanie Meyer Mid-America
Steve Shepherd Colliers International | Minneapolis-St. Paul
Phil Simonet
Paramount Real Estate
Nils Snyder
Colliers International | Minneapolis-St. Paul
Mark Steingas
Copperwood Investments
Tom Stella
Cushman & Wakefield/NorthMarq
David Stokes
Cassidy Turley
Brian Wasserman CBRE
MNCAR EXCHANGE 2012 LEADERSHIP
PRESIDENT Lisa Christianson Christianson and Company
PRESIDENT-ELECT/TREASURER Marty Fisher Premier Commercial Properties
IMMEDIATE PAST PRESIDENT Tim Igo Suntide
DIRECTORS Nathan Arnold CBRE
Maura Carland Colliers International | Minneapolis-St. Paul
Sheila DeVine
Warnert Commercial
Dirk Koentopf
Cushman & Wakefield/NorthMarq
Jeff LaFavre
CBC Griffin Companies
John McCarthy Cushman & Wakefield/NorthMarq
Dennis Panzer
Cassidy Turley
Dan Peterson
Adam Commercial
Whit Peyton
CBRE
Mike Salmen
Transwestern
Bill Wardwell
Colliers International | Minneapolis-St. Paul
Minnesota Commercial Association of Realtors 2012 Leadership
PRESIDENT Tom Burton Burton Real Estate Advisors
IMMEDIATE PAST PRESIDENT Lisa Christianson Christianson & Company
Secretary/Treasurer Jeff LaFavre Coldwell Banker Commercial Griffin Companies
MNCAR believes the information contained within this report to be accurate. MNCAR accepts no responsibility if this is found
not to be the case. No warranty or representation, express or implied, is made to the accuracy or completeness of the
information contained herein.

www.mncar.org