Chicago ($52/sqft, 24.5% vacancy) and Minneapolis ($32/sqft, 23.7% vacancy) compete on different axes: Chicago on talent depth and Minneapolis on rent and tax.
Chicago ($52/sqft, 24.5% vacancy) and Minneapolis ($32/sqft, 23.7% vacancy) compete on different axes: Chicago on talent depth and Minneapolis on rent and tax.
| Metric | Chicago | Minneapolis |
|---|---|---|
| Region | Americas | Americas |
| Country | United States | United States |
| Class A rent (USD/sqft/yr) | $52 | $32 |
| Class A rent (local) | 52 USD | 32 USD |
| Vacancy | 24.5% | 23.7% |
| Trend | flat | softening |
| Prime yield | 7% | 7.4% |
| Premium flex / seat / month (USD) | $920 | $580 |
| Submarkets covered | 6 | 5 |
| Corporate tax | 28.5% | 30.6% |
| Metric | Chicago | Minneapolis |
|---|---|---|
| Typical term | 10 yrs | 10 yrs |
| Typical rent-free | 22 mos | 16 mos |
| Lease norms | Modified-gross with op-ex escalations over a base year. Rent-free 18-30 months and TI $120-$200/sqft on a 10-year term are current market. | Modified-gross structures with opex pass-throughs. 10-year terms standard for trophy. Free rent of 14-18 months and TI of $80-$120/sqft typical on a 10-year deal. |
| Tax note | Combined federal + Illinois corporate tax effectively 28.5%. Cook County personal property lease transaction tax applies. | 21% federal plus 9.8% Minnesota corporate franchise tax for an effective rate near 30.6%. Minnesota property tax classification for commercial property is a meaningful occupancy cost line item. |
| Metric | Chicago | Minneapolis |
|---|---|---|
| Talent index (0–100) | 88 | 82 |
| Talent note | Deep professional-services, fintech, and trading talent pool. Average all-in compensation indexes 88 vs. New York. | Deep Fortune 500 corporate, healthcare, retail, and agribusiness talent. Strong feed from the University of Minnesota and the broader UMN system. Healthcare talent base supports Mayo Clinic and UnitedHealth Group. |
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD.
Minneapolis: Metro Transit light rail (Blue, Green) plus regional bus and a planned third light rail line. Downtown skyway system is unique and weather-relevant.
Minneapolis is the cheaper Class A market on a USD basis.
Chicago has the deeper talent index (88/100 vs 82/100).
Chicago has the lower headline corporate tax (28.5% vs 30.6%). Local incentives can change the effective rate materially.
Chicago typical term is 10 years with 22 months free; Minneapolis runs 10 years with 16 months free.
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD. Minneapolis: Metro Transit light rail (Blue, Green) plus regional bus and a planned third light rail line. Downtown skyway system is unique and weather-relevant.
Score Chicago, Minneapolis and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.