An index of the outlook for the commercial real estate market in the Twin Cities improved from the spring, when it was launched by St. Thomas. A rating of 50 is considered neutral.

spring 2010 fall 2010

Rents 60.2 56.0

Occupancy 69.4 65.0

Land prices 42.9 51.0

Building material prices 33.7 37.0

Required rate of return 56.6 57.0

Required equity 59.2 56.0

Composite 53.5 54.1

Source: University of St. Thomas Minnesota Commercial Real Estate Survey