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Midwest Region

98Investment TrendsQuarterly

Copyright© 2008 by Real Estate Research Corporation (RERC) and the CCIM Institute.

MidwestRegionTransactionBreakdown

Regional Transaction Price Breakdown/TiersMidwest Transaction Breakdown (4/1/07 - 3/31/08)

Office Industrial Retail Apartment Hotel< $2 MillionVolume (Mil) $386 $757 $786 $361 $43

Size Weighted Avg. ($ per sf/unit) $75 $39 $76 $34,951 $20,612

Price Weighted Avg. ($ per sf/unit) $99 $56 $116 $44,074 $23,973

Median ($ per sf/unit) $75 $42 $74 $36,100 $21,734

$2 - $5 MillionVolume (Mil) $643 $1,238 $1,288 $554 $309




> $5 MillionVolume (Mil) $15,246 $5,760 $7,185 $6,083 $5,739




All TransactionsVolume (Mil) $16,274 $7,755 $9,258 $6,998 $6,092




Capitalization Rates (All Transactions)Range (%) 4.3 - 9.6 5.4 - 11.7 5.0 - 11.0 4.5 - 10.0 6.8 - 12.0

Weighted Avg. (%) 6.6 7.7 6.3 6.5 8.2

Median (%) 7.5 8.1 7.0 7.2 9.5 Source: RERC.

nCCIM Institutedesigneesandcandidates rated theeco-nomicperformanceintheMidwestregionat5.6onascaleof 1 to 10, with 10 being high, for first quarter 2008. This wasthelowestratingofthefourregions,butwashigherthantheratinggiventothenationasawhole.

nThe size- and price-weighted average prices per square footorunitofspaceintheMidwestregionalcommercialrealestatemarketwerewellbelowthosesameaveragesfor the nation during first quarter 2008, except for several ofthehigher-volumeaveragesintheretailsector.Inad-

dition, the weighted average capitalization rates for each property sector in the Midwest region, with the exception oftheretailsector,werehigherthanthenationalaverag-es.

nIn contrast to trends where slow consumer spending isnegatively affecting retail property fundamentals, retailspace showed the most improvement among the majorproperty sectors in the Midwest region during first quarter 2008.

“Small industrial prop-erties on the edge of

residential development offer good investment

opportunities.”-Chicago

“It looks like apart-ments are starting to fill up because of the

mortgage crisis.”– Milwaukee

“Small retail centers that cater to ‘mom and

pop’ shops should be avoided at all costs.”

- Chicago

“Office is overbuilt.” – Columbus

OfficePropertySector



$50

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$450

$550MidwestU.S. TotalPrice-Weighted Average PPSF

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RERC Price-Weighted Avg. PPSF - 1Q 2008

5.5%

6.0%

6.5%

7.0%

7.5%

8.0%

8.5%

9.0%Midwest

U.S. Total

Avg. Capitalization Rate

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RERC Weighted Avg. Cap Rate - 1Q 2008

Midwest Office Transactions (4/1/07 - 3/31/08)Volume

(millions)Size-weighted Average ($/sf)

Price-weighted Average ($/sf)

Median($/sf)

Average Cap Rate (%)

Chicago $8,058 $202 $250 $150 6.1

Cincinnati $122 $97 $118 $85 –

Cleveland $756 $106 $116 $84 8.0

Columbus $370 $104 $134 $111 –

Detroit $616 $84 $120 $105 –

Indianapolis $283 $99 $108 $97 –

Kansas City $771 $147 $169 $120 7.1

Milwaukee $413 $116 $144 $87 7.4

Minneapolis $2,042 $124 $139 $127 6.8

Omaha $190 $87 $126 $84 –

St. Louis $1,448 $131 $156 $124 –

Toledo $118 $67 $108 $74 –

Midwest Total $16,274 $146 $196 $106 6.6

U.S. Total $165,414 $240 $396 $152 5.6 Source: RERC.

$50

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RERC Size-Weighted Avg. PPSF - 1Q 2008

nSurvey respondents had mixed opinions about the Mid-west region’s office market. Several respondents stated thatthesectorisamongtheworstforinvestmentopportu-nitiesduetoover-supply,whileothersstatedthatitofferedgood opportunities (specifically medical offices).

nOffice transaction volume declined during first quarter 2008. Although size- and price-weighted average prices in the less than $2 million and $2 to $5 billion volume cat-egoriesincreased,averagepricesinthegreaterthan$5millionvolumecategorydeclined.

Midwest



IndustrialPropertySector

$0

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6%

7%

8%

9%

10% MidwestU.S. TotalAvg. Capitalization Rate

Minnea

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Detroit

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Midwest Industrial Transactions (4/1/07 - 3/31/08)Volume



Median($/sf)


Chicago $2,859 $60 $86 $63 7.2

Cincinnati $404 $47 $58 $45 7.7

Cleveland $443 $49 $69 $42 7.2

Columbus $266 $37 $45 $41 –

Detroit $520 $63 $92 $51 8.2

Indianapolis $94 $39 $47 $42 –

Kansas City $298 $69 $115 $54 –

Milwaukee $285 $40 $58 $47 –

Minneapolis $542 $60 $86 $58 –

Omaha $64 $45 $70 $49 –

St. Louis $488 $52 $71 $54 –

Toledo $13 $36 $45 $32 –

Midwest Total $7,755 $53 $79 $49 7.7


$0

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$75

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U.S. TotalSize-Weighted Average PPSF

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nManysurveyrespondentsstatedthattheMidwestregion’sindustrial sector (along with the apartment sector) showed the greatest opportunity for investment during the next yearduetotheamountofestablishedinfrastructuretypi-callyinplaceandstablerentincome.

nThe industrial sector saw small increases in both size- and price-weighted average prices per square foot during first quarter 2008. The weighted average capitalization rate in-creased 30 basis points from fourth quarter 2007.

Midwest



RetailPropertySector

$50

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$350 MidwestU.S. TotalPrice-Weighted Average PPSF

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5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

8.0%MidwestU.S. Total

Avg. Capitalization Rate

Minnea

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Midwest Retail Transactions (4/1/07 - 3/31/08)Volume



Median($/sf)


Chicago $4,271 $218 $418 $163 5.7

Cincinnati $227 $114 $154 $106 6.7

Cleveland $276 $104 $135 $81 –

Columbus $316 $120 $158 $103 –

Detroit $341 $138 $174 $112 7.7

Indianapolis $69 $82 $128 $85 –

Kansas City $436 $133 $180 $97 –

Milwaukee $211 $117 $185 $82 7.0

Minneapolis $393 $112 $172 $88 7.0

Omaha $65 $88 $202 $111 –

St. Louis $990 $182 $206 $111 –

Toledo $24 $81 $126 $81 –

Midwest Total $9,258 $147 $291 $106 6.3


$50

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$125

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$175

$200 MidwestU.S. TotalSize-Weighted Average PPSF

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nThe majority of survey respondents from the Midwest region statedthattheretailsectorofferstheleastfavorableinvest-ment conditions over the next year due to the weakening economy, national uncertainty prior to elections, and smallbusinesses with marginal profits being forced to shut their doors.

nDespite the adverse outlook highlighted by survey respon-dents,theMidwestregion’sretailsectorperformedcompara-tively well during first quarter 2008. The weighted average and median capitalization rates remained steady, while both size- and price-weighted average prices per square foot in-creased from the previous quarter. Notably, the Midwest re-gion’s price-weighted average price per square foot of retail spacecreptabovethenationalaverage.

Midwest



ApartmentPropertySector

$0

$50,000

$100,000

$150,000

$200,000

$250,000MidwestU.S. TotalPrice-Weighted Average PPU

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RERC Price-Weighted Avg. PPU - 1Q 2008

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

8.0%MidwestU.S. TotalAvg. Capitalization Rate

Minnea

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Midwest Apartment Transactions (4/1/07 - 3/31/08)Volume

(millions)Size-weighted

Average ($/unit)Price-weighted Average ($/unit)

Median($/sf)


Chicago $2,383 $116,363 $179,017 $71,181 5.7

Cincinnati $258 $42,551 $53,140 $29,130 –

Cleveland $253 $47,120 $61,001 $38,307 6.8

Columbus $637 $50,169 $59,425 $41,000 6.8

Detroit $460 $51,494 $64,333 $42,639 7.1

Indianapolis $306 $61,873 $73,657 $71,725 6.4

Kansas City $273 $55,803 $67,091 $37,781 7.0

Milwaukee $195 $78,027 $107,818 $52,544 –

Minneapolis $362 $76,909 $87,959 $65,708 6.6

Omaha $197 $69,386 $78,502 $45,619 –

St. Louis $179 $50,666 $60,830 $37,042 –

Toledo $96 $58,687 $69,539 $41,735 –

Midwest Total $6,998 $66,812 $107,461 $46,267 6.5

U.S. Total $78,236 $99,431 $169,129 $83,333 5.8 Source: RERC.

$0

$25,000

$50,000

$75,000

$100,000

$125,000

$150,000Midwest

U.S. TotalSize-Weighted Average PPU

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RERC Size-Weighted Avg. PPU - 1Q 2008

nThe majority of survey respondents from the Midwest region believe the apartment sector shows the greatestinvestment opportunity for the next year, primarily due to theever-presentneed forhousing (andespeciallywhenforeclosures are high) and the reduced availability of loans atornear100-percentloan-to-valueratios.

nThe volume of apartment sales in the Midwest region de-clined by about 30 percent during first quarter 2008 from the previous quarter. In addition, both the size- and price-weightedaveragepricesperapartmentunitdeclineddur-ing first quarter.

Midwest



HotelPropertySector

$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

MidwestU.S. TotalPrice-Weighted Average PPU

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RERC Price-Weighted Avg. PPU - 1Q 2008

Midwest Hotel Transactions (4/1/07 - 3/31/08)Volume

(millions)Size-weighted

Average ($/unit)Price-weighted Average ($/unit)

Median($/sf)


Chicago $2,848 $229,137 $760,034 $107,085 7.2

Cincinnati $347 $108,924 $146,091 $103,065 –

Cleveland $423 $107,911 $162,764 $82,561 –

Columbus $268 $74,555 $103,589 $61,667 –

Detroit $299 $81,935 $96,137 $76,982 –

Indianapolis $164 $99,018 $139,583 $81,266 7.4

Kansas City $301 $91,549 $118,652 $84,802 –

Milwaukee $129 $88,988 $97,430 $80,667 –

Minneapolis $194 $99,325 $160,362 $63,263 –

Omaha – – – – –

St. Louis $301 $90,493 $113,464 $72,059 9.4

Toledo $40 $49,177 $53,475 $49,176 –

Midwest Total $6,092 $121,770 $424,935 $72,871 8.2

U.S. Total $59,238 $171,778 $489,300 $103,488 7.9 Source: RERC.

$0

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$250,000MidwestU.S. Total

Size-Weighted Average PPU

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RERC Size-Weighted Avg. PPU - 1Q 2008

nBoth size- and price-weighted average prices per hotel unit in the Midwest region increased during first quar-ter 2008 when compared to the previous quarter in the more $5 million transaction price category. The weight-ed average capitalization rate declined 70 basis points from the previous quarter.

nThe Midwest hotel transaction volume increased by about a third during first quarter 2008.

Midwest

Copyright© 2008 by Real Estate Research Corporation (RERC) and the CCIM Institute.Investment TrendsQuarterly

MidwestMarketSnapshot

104

Midwest Region Space MarketOffice - 1Q-2008

Inventory SF (000s) Vacancy Rate (%) Net Absorption SF (000s) Asking Rents ($/SF)

Chicago 219,952 15.0 272 $18.68 Net

Cincinnati 33,997 17.1 320 $14.61 Gross

Cleveland 37,253 16.0 188 $16.12 Gross

Columbus 30,245 16.0 -110 $11.46 Net

Detroit 71,558 21.6 -611 $19.23 Gross

Indianapolis 31,154 16.5 -227 $17.62 Gross

Kansas City 47,405 13.5 715 $17.43 Gross

Minneapolis 63,894 15.2 -269 $13.58 Net

St. Louis 39,522 14.2 482 $18.71 Gross

Toledo 15,181 16.3 53 $11.02 Net

Industrial - 1Q-2008

Inventory SF (000s) Availability Rate (%) Net Absorption SF (000s) Asking Rents ($/SF)

Chicago 1,037,634 10.9 -1,066 $5.31 Net

Cincinnati 281,630 7.6 1,269 $4.08 Net

Cleveland 302,870 9.4 -902 $4.12 Net

Columbus 243,541 13.5 -67 $3.61 Net

Detroit 477,733 17.3 -2,936 $5.14 Net

Indianapolis 267,315 10.6 -277 $4.38 Gross

Kansas City 232,598 7.8 799 $4.16 Gross

Minneapolis 320,130 8.5 302 $6.09 Net

St. Louis 267,256 10.5 -157 $4.43 Net

Retail - 1Q-2008Inventory SF (000s) Availability Rate (%) Net Absorption SF (000s) TWR Rent Index ($/SF)

Chicago 94,397 13.0 -467 $22.00

Cincinnati 21,302 14.6 128 $11.66

Cleveland 14,687 15.3 29 $18.57

Columbus 18,247 15.7 -134 $13.15

Detroit 31,710 15.4 -238 $19.34

Indianapolis 20,550 16.6 -257 $17.83

Kansas City 27,092 12.8 29 $17.98

Minneapolis 26,993 6.3 54 $21.02

St. Louis 33,211 12.7 -166 $22.20

Space Market Data has been provided courtesy of Torto Wheaton Research. Analysis within this report is solely compiled and produced by the Real Estate Research Corporation, and in no way reflects the interpretations, opinions, or conclusions of Torto Wheaton Research.

Trusted Advice. Proven Performance.

RERC extends its appreciation to CBRE/Torto Wheaton Research, whichcontributed all of the space market information on this page.

CBRE/Torto Wheaton Research is a full-service researchand investmentadvisory firm, specializing in com-mercialrealestatemarkets.

With over 20 years of experience, our industry leading research, mar-ket expertise, and strategic partner-shipsprovideclientswithtacticalad-viceandstrategicdirectiontoidentifymarket opportunities that enhanceperformanceandmanagerisk.

CBRE/TWR is internationally rec-ognized for our solid foundation in economics,accurate forecasts,ana-lytical expertise, and providing clients withunparalleled insight intothedy-namicsoftherealestatemarketthatimpactperformance.

William WheatonPh.D., Principal

Jon SouthardPrincipal

James CostelloPrincipal


105

Demographics & Economics

Population Unemployment Rate (March 2008)

Chicago MSA 9.7 million Chicago2 5.6%

Chicago Growth1 1.03% Illinois2 5.7%

National Growth1 1.30% National2 5.2%

Household Income & Value

Per Capita Income $31,498 2007 Households 3.5 million

1-year Job Growth 0.90% Household Growth 0.99%

1-year Job Additions 40,300 Median Home Price $252,751

Major Employers

Deloitte

Exelon Corp.

University of Chicago

Northern Trust Bank FSB

CNA Financial Corp.Sources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Chicago Region – 2007” ©2007 NATIONAL ASSOCIATION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.

Noteworthy Transactions

Sale Date Sale Price Sq. Ft./Units PPSF/PPU

Office

UBS Tower 2-08 $540,000,000 1,250,000 $432

SBC 1-08 $276,000,000 800,000 $345

Industrial

O’Hare Logistics Center 1-08 $22,200,000 188,160 $118

222-230 Sivert Court 2-08 $13,100,000 187,200 $70

Retail

Westfield North Bridge 1-08 $515,000,000 680,933 $756

730 N. Michigan Ave. 1-08 $350,000,000 217,000 $1,613

Apartment

Belmont House 1-08 $56,000,000 269 $208,178

Park Evanston 1-08 $100,000,000 283 $353,357

Hotel

James Hotel 1-08 $124,866,667 297 $420,426

Marriot Medical District 2-08 $25,043,093 113 $221,620Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

Market Construction/Redevelopment Activity

Property Type

New(N)/Refurbished(R)

Total Sq. Ft./Units

Estimated Delivery

IKEA Distribution Center Industrial N 650,000 2009

208 S. LaSalle Hotel R 610 2010

Jewish FederationBuilding Hotel N 241 Fall 2008

155 N. Wacker Drive Office N 1,100,000 2009

Sunrise of Lombard Multifamily N 140 2009Sources: CBRE, RE Business.

Chi

ca

go Metro Trend Analysis Last

QuarterPrevious

Year

Office

Size-Weighted Average PPSF

Weighted Average Cap Rate

Industrial



Retail



Apartment



Hotel



Metro Cap Rate Comparison* Current Quarter

Office

vs. Midwest Region

vs. Nation

Industrial

vs. Midwest Region

vs. Nation

Retail

vs. Midwest Region

vs. Nation

Apartment

vs. Midwest Region

vs. Nation

Hotel

vs. Midwest Region

vs. Nation

*Comparison of current quarter weighted average capitalization rates.Source: RERC.


106

Chicago Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel

< $5 MillionVolume (Mil) $224 $629 $557 $260 $42




> $5 MillionVolume (Mil) $7,834 $2,230 $3,715 $2,123 $2,806




All TransactionsVolume (Mil) $8,058 $2,859 $4,271 $2,383 $2,848




Capitalization Rates (All Transactions)Weighted Average (%) 6.1 7.2 5.7 5.7 7.2

Median (%) 6.7 7.2 6.9 5.8 8.2 Source: RERC.

Chicago

Historical Median Price per Square Foot (12 month trailing) – OFFICE

Historical Median Price per Square Foot (12 month trailing) – INDUSTRIAL

HistoricalMedianPriceperUnit (12 month trailing) – APARTMENT

Historical Median Price per Square Foot (12 month trailing) – RETAIL

Please note that in order to more accurate-ly reflect 12-month trailing average trends, scales are unique to each chart and for each property type and do not carry over from one chart to another.

Footnotes:1The property at 1 North Wacker sold for $432/sf and that at 225 W. Randolph St. sold for $345/sf, raising the average and median prices.2This sharp increase is due in part to the sale of the apartment building at 345 E. Ohio St., which sold for $440,748/unit.

1

2


107



Cincinnati MSA 2.1 million Cincinnati2 5.2%

Cincinnati Growth1 0.84% Ohio2 6.1%



Per Capita Income $29,902 2007 Households 833,000



Major Employers

Procter & Gamble Co.

University of Cincinnati

GE Aviation

Valentine Research Inc.

RJS Sales & MarketingSources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Cincinnati Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

Ridgewood Corporate Center 1-08 $13,000,000 196,055 $66

Liberty Falls Medical Plaza 3-08 $8,100,000 44,000 $184

Industrial

8752 Jacquemin Drive 1-08 $15,300,000 394,480 $39

401 Fujitec Drive 3-08 $16,000,000 225,000 $71

Retail

Dillards at W. Towne Center 2-08 $9,100,000 178,400 $51

Houston Lakes 1-08 $5,400,000 73,145 $74

Apartment

Charleston at Blue Ash 1-08 $23,000,000 242 $95,041

Hawk’s Landing 2-08 $12,900,000 122 $105,738

Hotel

4501 Eastgate Blvd. 2-08 $3,250,000 237 $13,713Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq.Ft./Units

Estimated Delivery

540 MW Lima Energy Industrial N 75,000 Late 2008

Queen City Square Tower Office N 825,000 2011

ProLogis Park 275 Industrial N 415,000 Summer2008

The Banks Mixed Use N

300,000 Office

201070,000 Retail

400-unit Mult.Sources: CBRE, RE Business.

Cin

cin

nati Metro Trend Analysis Last

QuarterPrevious

Year

Office


Industrial


Weighted Average Cap Rate –

Retail


Weighted Average Cap Rate =

Apartment


Hotel

Size-Weighted Average PPU –


Industrial

vs. Midwest Region =

vs. Nation

Retail

vs. Midwest Region

vs. Nation



108

Cincinnati Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel

< $5 MillionVolume (Mil) $31 $91 $54 $63 –

Size Weighted Avg. ($ per sf/unit) $79 $38 $99 $25,883 –

Price Weighted Avg. ($ per sf/unit) $115 $49 $176 $29,793 –

Median ($ per sf/unit) $78 $41 $80 $26,563 –

> $5 MillionVolume (Mil) $91 $313 $174 $194 $337




All TransactionsVolume (Mil) $122 $404 $227 $258 $347




Capitalization Rates (All Transactions)Weighted Average (%) – 7.7 6.7 – –

Median (%) – 7.8 6.7 – –Source: RERC.

Cincinnati





Please note that in order to more accu-rately reflect 12-month trailing average trends, scales are unique to each chart and for each property type and do not carry over from one chart to another.

Footnotes:1One retail property sold for $303/sf, well above the median price of $106.

1


109



Cleveland MSA 2.2 million Cleveland2 6.3%

Cleveland Growth1 0.05% Ohio2 6.1%




1-year Job Growth – Household Growth 0.15%

1-year Job Additions – Median Home Price $147,596

Major Employers

Cleveland Clinic Foundation

University Hospital of Cleveland

Key Bank

Progressive Corp.

Money Mart Facsimile ExpressSources: Bureau of Labor Statistics, NAR, STDB Online.1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

North Point Tower 2-08 $114,100,000 1,000,000 $114

55 Public Square 1-08 $45,000,000 425,000 $106

Retail

Madison Square 1-08 $5,800,000 124,167 $47

CVS 3-08 $7,400,000 47,738 $155

Apartment

Richmond Park 1-08 $25,620,000 736 $34,810

Hillwood II 2-08 $17,800,000 240 $74,167

Hotel

Embassy Suites 2-08 $47,869,983 216 $221,620Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

Cle

vela

ndMetro Trend Analysis Last

QuarterPrevious

Year

Office



Industrial


Weighted Average Cap Rate = =

Retail


Apartment



Hotel



Office

vs. Midwest Region

vs. Nation

Industrial

vs. Midwest Region

vs. Nation

Apartment

vs. Midwest Region

vs. Nation



Property Type


Total Sq. Ft./Units

Estimated Delivery

Estancia Executive Center Phase III Office N 90,000 2009

The Plaza atSouthPark Retail N 300,000 N/A

The Sun Life Bldg. Industrial N 583,000 N/A

Bridgeview Commons Retail N 558,000 N/A

Avon Crossing Retail N 270,000 N/ASources: CBRE, RE Business.


110

Cleveland Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel













Capitalization Rates (All Transactions)Weighted Average (%) 8.0 7.2 – 6.8 –

Median (%) 8.3 7.4 – 7.7 –Source: RERC.

Cleveland




Please note that in order to more accurately reflect 12-month trailing average trends, scales are unique to each chart and for each property type and do not carry over from one chart to another.



111



Columbus MSA 1.8 million Columbus2 4.9%

Columbus Growth1 1.46% Ohio2 6.1%






Major Employers

Ohio State University

State of Ohio Department of Corrections

Riverside Methodist Hospital

Defense Supply Center

Hines Interest LTD PartnershipSources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Columbus Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

OSU Physicians Center 1-08 $16,000,000 109,000 $147

4653 E. Main St. 2-08 $14,000,000 259,046 $54

Industrial

1525 Industrial Drive 2-08 $1,195,000 35,120 $34

6000 Green Pointe Road 1-08 $19,100,000 612,452 $31

Retail

1611 Polaris Parkway 2-08 $1,650,000 6,171 $267

Apartment

Sycamore Ridge 2-08 $24,600,000 270 $91,111

Britton Woods 3-08 $28,700,000 352 $81,534Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

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Property Type


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Estimated Delivery

Franklin County Courthouse Office N 325,000 2010

2842 Spiegel Drive Industrial N 936,000 N/A

RickenbackerParkway Building Industrial N 407,000 N/A

Albany Park Retail N 300,000 2009

Westerville Medical Campus Office N 165,000 Mid-2008

Sources: CBRE, RE Business.


112

Columbus Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel













Capitalization Rates (All Transactions)Weighted Average (%) – – – 6.8 –

Median (%) – – – 7.2 –Source: RERC.

Columbus






113



Detroit MSA 4.6 million Detroit2 8.1%

Detroit Growth1 0.26% Michigan2 7.9%






Major Employers

DTE Energy Co.

General Motors Corp.

MotorCity Casino

Rehabilitation Institute of Michigan

Compuware Corp.Sources: Bureau of Labor Statistics, NAR, STDB Online.1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

ThyssenKruppMaterials HQ 3-08 $15,400,000 64,607 $238

Daimler Chrysler 2-08 $8,400,000 54,250 $155

Industrial

3200 Cross Creek Parkway 1-08 $5,600,000 30,060 $186

150 Stephenson Highway 2-08 $8,767,470 103,253 $85

Retail

35103 Grand River Ave. 1-08 $5,000,000 38,600 $130

125 W. William St. 2-08 $1,800,000 9,494 $190

Apartment

Willowtree 2-08 $33,010,883 312 $105,804

New King St. Tower Drive 1-08 $42,900,000 1,135 $37,797Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

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vs. Nation

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Property Type


Total Sq. Ft./Units

Estimated Delivery

MotorCity Casino Retail R 45,000 Mid-2008Sources: CBRE, RE Business.


114

Detroit Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel













Capitalization Rates (All Transactions)Weighted Average (%) – 8.2 7.7 7.1 –

Median (%) – 8.7 7.3 7.2 –Source: RERC.

Detroit






115



Indianapolis MSA 1.7 million Indianapolis2 4.8%

Indianapolis Growth1 1.63% Indiana2 5.6%






Major Employers

Eli Lilly & Co.

Peyton Manning Children’s Hospital

Indiana University

Indy Honda

Rolls-Royce Corp.Sources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Indianapolis Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

Indiana Plaza 1-08 $36,000,000 423,107 $85

One & Two Park Fletcher 3-08 $13,100,000 164,325 $80

Industrial

Rockville Business Center 2-08 $15,600,000 632,054 $25

AmeriCold 3-08 $23,200,000 427,159 $54

Retail

Rivers Edge Shopping Center 2-08 $18,300,000 110,896 $165

Southport Plaza 1-08 $20,100,000 85,062 $236

Apartment

Bristol 2-08 $15,700,000 211 $74,408

Hotel

Adams Mark 2-08 $77,000,000 406 $189,655Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq. Ft./Units

Estimated Delivery

Ralston Square Mixed Use N 41,000 2009

Prime Distribution Industrial N 1,200,000 N/A

SMC Corporation of America Industrial N 668,000 N/A

Cosmopolitan on the Canal Multifamily N 218 N/A

70 W. Commerce Park Industrial N 2,000,000 N/ASources: CBRE, RE Business.

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Indianapolis Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel

< $5 MillionVolume (Mil) $13 $8 $18 – –

Size Weighted Avg. ($ per sf/unit) $45 $33 $108 – –

Price Weighted Avg. ($ per sf/unit) $78 $37 $171 – –

Median ($ per sf/unit) $94 $37 $68 – –









Capitalization Rates (All Transactions)Weighted Average (%) – – – 6.4 7.4

Median (%) – – – 7.2 9.0 Source: RERC.

Indianapolis


117



Kansas City MSA 2 million Kansas City2 5.5%

Kansas City Growth1 1.20% Missouri2 6.1%






Major Employers

Hallmark Cards Inc.

Kansas City City Hall

U.S. Health & Human Services Department

University of Missouri-Kansas (UMKC)

DST TechnologiesSources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Kansas City Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

2555 Grand Blvd. 2-08 $155,800,000 595,607 $262

Doctor’s Medical Building 2-08 $13,600,000 63,000 $216

Industrial

Best Brands 3-08 $14,400,000 150,000 $96

Metro Kansas CityDistribution 1-08 $15,000,000 253,440 $59

Retail

800 Broadway Blvd. 2-08 $3,900,000 31,200 $125

1301-1667 NE Douglas St. 3-08 $12,300,000 59,436 $207

Apartment

819 E. 42nd St. 2-08 $339,000 12 $28,250

Hotel

Residence Inn 2-08 $10,700,000 90 $118,889

SpringHill Suites by Marriott 3-08 $9,400,000 102 $92,157Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq. Ft./Units

Estimated Delivery

167th St. and Lone Elm Road Industrial N 592,000 Fall 2008

Corporate Woods Building 83 Office N 350,000 2009

Corbin Park Retail N 1,100,000 Fall 2008Sources: CBRE, RE Business.

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118

Kansas City Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel













Capitalization Rates (All Transactions)Weighted Average (%) 7.1 – – 7.0 –

Median (%) 7.3 – – 7.2 –Source: RERC.

Kansas City






Footnotes:1The substantial increase in median price is due in part to the sale of the property at 2555 Grand Blvd., which sold for $262/sf.

1


119



Milwaukee MSA 1.5 million Milwaukee2 5.4%

Milwaukee Growth1 0.27% Wisconsin2 5.6%






Major Employers

University of Wisconsin

General Mitchell International-Milwaukee

Northern Chocolate Co.

Northwestern Mutual Investment

Rockwell Automation Inc.Sources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Milwaukee Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

310 E. Knapp 2-08 $14,800,000 57,000 $260

Park Place 3-08 $16,000,000 229,586 $70

Industrial

4410 N. 132nd St. 3-08 $5,500,000 100,000 $55

1200 W. Sunset Drive 2-08 $11,300,000 599,939 $19

Retail

801 Layton Ave. 2-08 $4,200,000 28,119 $149

10855 W. Park Place 2-08 $3,375,000 21,901 $154

Apartment

700 E. Stonegate Drive 1-08 $5,900,000 65 $90,769

Meadowmere Northshore 1-08 $9,200,000 60 $153,333Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq. Ft./Units

Estimated Delivery

Pabst Farms Town Centre Retail N 1,000,000 2010

1200 W. Sunset Dr. Retail N 4,500,000 2009

Liberty Corporate Preserve Industrial N 240,000 N/A

Staybridge Suites Multifamily N 31 N/A

Hyatt Summerfield Suites Hotel N 102 N/A

Sources: CBRE, RE Business.

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Milwaukee Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel













Capitalization Rates (All Transactions)Weighted Average (%) 7.4 – 7.0 – –

Median (%) 7.8 – 7.0 – –Source: RERC.

Milwaukee






Footnotes:1This sharp increase is due in part to the sale of the property at 2920 E. Hampshire Ave., which sold for $95,000/unit.1


121



Minneapolis MSA 3.3 million Minneapolis2 4.8%

Minneapolis Growth1 1.55% Minnesota2 5.4%






Major Employers

University of Minnesota

Fairview University Medical Center

UPS

Target Stores Inc.

Best Buy Company Inc.Sources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Minneapolis Region – 2007” ©2007 NATIONAL ASSOCIA-TION OF REALTORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission. 1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

Reliastar Complex 1-08 $124,174,000 987,855 $126

800 Washington Ave. N. 1-08 $26,772,000 346,000 $77

Industrial

3000 Broadway St. NE 2-08 $4,750,000 40,990 $116

Excelsior Crossings Phase 1 1-08 $50,200,000 250,000 $201

Retail

Victor Marketplace 1-08 $11,800,000 69,433 $170

14075-14151 Hwy. 13 3-08 $14,100,000 87,181 $162

Apartment

Grandmarc at Seven Corners 2-08 $19,679,565 186 $105,804

Cosmoplitan Apartment 1-08 $23,600,000 256 $92,188

Hotel

Country Inn & Suites 1-08 $6,100,000 90 $67,778

Best Western Bandana Square 2-08 $6,500,000 110 $59,091

Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq. Ft./Units

Estimated Delivery

The Manning Ave. Project Mixed Use N 25,264,486 2030

Maple Grove Retail N 550,000 N/A

Plaza 15 Mixed Use N 220 Units N/A

Excelsior Crossings in Hopkins Office N 450,000 Fall 2008

AMB Distribution Center Industrial N 154,000 N/ASources: CBRE, RE Business.

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122

Minneapolis Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel





> $5 MillionVolume (Mil) $1,927 $356 $233 $327 $176




All TransactionsVolume (Mil) $2,042 $542 $393 $362 $194




Capitalization Rates (All Transactions)Weighted Average (%) 6.8 – 7.0 6.6 –

Median (%) 7.6 – 6.8 6.9 –Source: RERC.

Minneapolis





123



Omaha MSA 843,000 Omaha2 3.6%

Omaha Growth1 1.37% Nebraska2 3.2%






Major Employers

First Data Resources Inc.

Mutual of Omaha Insurance Co.

Con Agra Foods Inc.

Union Pacific Railroad Co.

Oriental Trading Co. Inc.Sources: Bureau of Labor Statistics, NAR, STDB Online.1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Industrial

10101 J. St. 2-08 $415,000 7,440 $56

Retail

2340 Paul St. 2-08 $1,100,000 10,442 $105

14304 W. Maple Road 3-08 $8,300,000 70,032 $119

Apartment

Brandeis Lofts 3-08 $15,400,000 140 $110,000Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

Om

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Metro Trend Analysis Last Quarter

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Office


Industrial


Retail


Apartment


Source: RERC.


Property Type


Total Sq. Ft./Units

Estimated Delivery

Midtown Crossing at Turner Park Mixed Use N 1,000,000 2009

ACI Worldwide Office N 160,000 N/A

Coventry Insurance Office N 90,000 N/A

Aksarben Village Office N 154,000 N/A

Ameriprise Office N 86,000 N/ASources: CBRE, RE Business.


124

Omaha Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel





> $5 MillionVolume (Mil) $170 – – $178 –

Size Weighted Avg. ($ per sf/unit) $92 – – $72,362 –

Price Weighted Avg. ($ per sf/unit) $131 – – $80,428 –

Median ($ per sf/unit) $101 – – $78,788 –

All TransactionsVolume (Mil) $190 $64 $65 $197 –




Capitalization Rates (All Transactions)Weighted Average (%) – – – – –

Median (%) – – – – –Source: RERC.

Omaha



Footnotes:1This large spike was due to three prop-erty sales, each for over $500/sf.

1


125



St. Louis MSA 2.8 million St. Louis2 6.4%

St. Louis Growth1 0.77% Missouri2 6.1%






Major Employers

St. Louis University

U.S. Post Office

Anheuser-Busch Co. Inc.

ABM Industries

A. G. Edwards & Sons Inc.Sources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for St. Louis Region – 2007” ©2007 NATIONAL ASSOCIATION OF REAL-TORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission.1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

Old Town Executive Offices 1-08 $33,700,000 185,973 $181

United Health 2-08 $31,800,000 188,500 $169

Industrial

1203 Ambassador Blvd. 2-08 $1,660,000 33,245 $50

Keefe Supply Co. 3-08 $8,300,000 171,637 $48

Retail

31-35 N. Gore 2-08 $1,700,000 11,000 $155

Hilltop Plaza 2-08 $23,200,000 302,921 $77

Apartment

Village Green 1-08 $20,000,000 252 $79,365

The Vinnings of Bordeaux 3-08 $8,300,000 93 $89,247

Hotel

Adams Mark 2-08 $71,000,000 910 $78,022Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.


Property Type


Total Sq. Ft./Units

Estimated Delivery

Lemp Brewery Complex Mixed Use R 75,000 sf & 400 Units 2012

University Center Mixed Use N 115,880 2008

6177 Delmar Blvd. Hotel N 124 2009

Villa Lighting Warehouse Industrial N 206,288 2009

Wal-Mart Supercenter Retail R 190,617 2008Sources: CBRE, RE Business.

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St. Louis Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel





> $5 MillionVolume (Mil) $1,390 $344 $888 $137 $280




All TransactionsVolume (Mil) $1,448 $488 $990 $179 $301




Capitalization Rates (All Transactions)Weighted Average (%) – – – – 9.4

Median (%) – – – – 8.9 Source: RERC.

St. Louis







127



Toledo MSA 667,000 Toledo2 7.2%

Toledo Growth1 0.15% Ohio2 6.1%






Major Employers

St. Vincent Mercy Medical Center

Toledo Hospital

Bowling Green State University

Daimler Chrysler Corp.

University of ToledoSources: Bureau of Labor Statistics, NAR, STDB Online.“Home Price Analysis Report for Toledo Region – 2007” ©2007 NATIONAL ASSOCIATION OF REAL-TORS®. Used with permission. Reproduction, reprinting, or retransmission of this document in any form (electronic media included) is prohibited without written permission.1Projected annual growth over 5 years (2007-2012). 2Rates are non-seasonally adjusted.



Office

3242 Executive Parkway 2-08 $1,550,000 16,380 $95

1730 Holloway Road 1-08 $6,700,000 8,741 $767

Retail

Toledo Neighborhood Center 1-08 $2,250,000 85,829 $26

Apartment

University Enclave 2-08 $12,700,000 120 $105,833

The Cloisters 3-08 $24,800,000 506 $49,012

Hotel

Studio 6 1-08 $5,800,000 96 $60,417Compiled by RERC for the RERC/CCIM Investment Trends Quarterly report.

Tole

do Metro Trend Analysis Last

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Industrial


Retail


Apartment


Hotel


Source: RERC.


Property Type


Total Sq. Ft./Units

Estimated Delivery

Fed Ex Hub-Perrysburg Township Industrial N 400,000 2009

GM Powertrain Facility Industrial N 400,000 2009

Menards Retail N 240,000 2008

Bass Pro Shop Retail N 150,000 2008Sources: CBRE, RE Business.


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Toledo Transaction Breakdown (4/1/07 - 3/31/08)Office Industrial Retail Apartment Hotel





> $5 MillionVolume (Mil) $101 – – $80 –

Size Weighted Avg. ($ per sf/unit) $66 – – $68,535 –

Price Weighted Avg. ($ per sf/unit) $111 – – $76,241 –

Median ($ per sf/unit) $94 – – $68,097 –





Capitalization Rates (All Transactions)Weighted Average (%) – – – – –

Median (%) – – – – –Source: RERC.

Toledo



Please note that in order to more accurately reflect 12-month trail-ing average trends, scales are unique to each chart and for each property type and do not carry over from one chart to another.

Footnotes:1A two-part property sold for $105,804/unit, more than twice the median price, contributing to this quar-terly increase.

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