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Analysis

Commercial property prices are stuck in low gear

Values inch up as investors weigh conflicting signals on rates and demand
Pricing on trophy offices were punished in the second quarter. 500 W. Monroe St. in Chicago’s Loop business district sold at a more than $300 million discount. (CoStar)
Pricing on trophy offices were punished in the second quarter. 500 W. Monroe St. in Chicago’s Loop business district sold at a more than $300 million discount. (CoStar)

Commercial real estate prices barely budged in the second quarter, rising an average of just 0.1% across the market as gains in retail property were offset by weakness in multifamily and a widening divide between large and small office assets.

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