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Minneapolis/St. Paul – 2019-2020 Commercial Real Estate Value Trends

Simonson Real Estate

Lowest volume since 2013. Xcel Energy building constructed in 2016 totaling 222,000 square feet sold for close to $500/SF with a mid-5.5% 2020 – 2021: 12,000 units under construction. o High 5.00% frequently seen with rising construction costs and Inclusionary Zoning. • Rising construction costs. •

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WILL WAR IN UKRAINE IMPACT OUR HOUSING MARKET?

Will Springer Realtor

Soaring costs of labor and construction materials is certainly contributing to the rising figure but there is evidence of a sharp increase in home improvements since the start of the pandemic. New construction is not likely to keep up with demand and bring that median age [of a home] down. A 2021 survey showed nearly half of U.S.