Monday, September 17, 2007

Chicago's retail rents down -- 1%

Again, in my opinion this is bad news only for Chicken Littles. A one percent decline is not significant, although if it continued over several quarters that would be different. Vacancy rates remain at 7.5%, albeit with a lot more space coming online, and remember that this is an area-wide survey and not market-specific. Some markets, as always, are better than others. All the Greenspan stuff worries me more than this, but as he said, it is all irrational exuberance. I'll bet there is nothing wrong with rational exuberance.