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David Bodamer
David Bodamer has been Editor-in-Chief since May 2006. Prior to that, he served as Managing Editor. Before joining Retail Traffic, Bodamer served as associate editor and senior associate editor for Commercial...more

Commercial Real Estate Derivatives

David Bodamer January 25th, 2007

The MIT Center for Real Estate along with Real Capital Analytics has developed a commercial real estate index designed “with the objective of supporting the trading of commercial property price derivatives.”

The index includes the four major property types and is computed on a monthly basis, starting with July 2001. Each property type, including retail has a separate index computed on a quarterly basis. Data can also be viewed on a regional basis.

It’s a fascinating idea and will be interesting to see if it catches on. Last year, Standard & Poor’s and Robert Shiller, of Irrational Exuberance fame, launched an index for based on single-family housing for a similar purpose.