The 9-11 Impact on Commercial Real Estate

The NBER has a very well done study on the impact that the 9-11 attack has had on high-rise office buildings. They actually took a look at the changes that occured in Chicago instead of New York. They did this because if they had studied office buildings in New York, the numbers could easily be misleading because the attack significantly decreased available space in NYC. They were good about comparing offices in higher risk buildings to the smaller surrounding buildings.

Reading this makes me think that the attacks may still be having an effect on the U.S. economy also.

NBER.org: The Impact of Terrorism on the Office Real Estate Market