Even so, the problems that Internet and other high technology companies have had lately has taken its toll on the Twin Cities economy just the same--including the commercial real estate section.

One of the bigger holes is Net Perception's 100,000 sf of space--two-thirds of what it originally occupied. The company, which recently eliminated nearly half of its work force, is down to leasing just 50,000 sf at a multi-tenant office building in Edina, says Chris Moran, vice president of marketing for Net Perceptions, which develops marketing software for online firms. He says the company had to scale back space as it has scaled back growth projections.

The Twin Cities office market's vacancy rate hit 10% at the end of last year, the first time the vacancy rate has hit double digits in five years, according to a year-end report on the Twin Cities commercial real estate market by Bloomington-based United Properties. Add in the nearly 1.3 million sf of space available for sublease, and the vacancy rategoes to 11.9%. While the economic slowdown is to blame for much of that, the crash of the dot-coms has contributed a significant share, says Jeff Hart, an office brokerwith Minneapolis-based Colliers Towle Real Estate.