Chart 1: High construction activity and rising vacancy rates could stress some office markets.

Metropolitan Market Name

Vacancy Rate Increase: Change in Vacancy Rate During 2001, in Percentage Points Construction Activity: Square Feet of Office Space Under Construction at Year-End 2001 as a Percentage of Total Rentable Space

Austin

14.90 7.5%

San Jose

13.10 3.4%

San Francisco

12.30 4.4%

Boston

9.60 3.0%

Seattle

9.00 7.2%

Oakland

8.00 4.4%

Denver

7.40 1.6%

Northern New Jersey

7.40 6.4%

Wilmington

7.40 4.5%

Washington, DC

6.80 3.4%

Fort Lauderdale

6.70 4.3%

West Palm Beach

6.70 0.6%

Phoenix

6.50 2.8%

Columbus

6.20 0.7%

San Diego

6.20 2.5%

Portland

5.90 5.0%

Chicago

5.80 2.8%

Orange County

5.50 0.7%

Ventura

5.40 4.0%

Kansas City

5.30 1.4%

Sum of Markets

5.30 2.7%

Fresno

5.20 0.0%

Salt Lake City

5.10 2.2%

Stamford

5.00 0.8%

Atlanta

4.90 2.6%

Dallas

4.80 2.1%

Detroit

4.80 1.7%

Indianapolis

4.40 0.0%

Orlando

4.40 1.6%

New York

4.30 1.8%

Las Vegas

4.20 5.2%

Nashville

4.10 1.5%

Westchester

4.10 1.3%

Cincinnati

4.00 1.4%

Miami

4.00 5.1%

Jacksonville

3.60 2.2%

Philadelphia

3.50 3.0%

Charlotte

3.40 4.0%

Tucson

3.30 1.4%

Hartford

2.40 0.0%

Long Island

2.40 1.6%

Baltimore

2.30 3.5%

St. Louis

2.30 1.3%

Sacramento

2.20 3.8%

Tampa

2.10 0.9%

Houston

2.00 2.1%

Los Angeles

2.00 2.0%

Fort Worth

1.60 2.0%

Minneapolis

1.60 1.3%

Cleveland

0.80 2.9%

Oklahoma City

0.70 0.0%

Albuquerque

0.50 2.4%

Riverside

(0.40) 0.0%

Honolulu

(0.50) 0.0%
Source: Torto Wheaton Research