Some firms are shifting operations outside the Bay Area, wherelower rents may free up needed funds. Sunnyvale, Calif.-basedPerformance Polymer Technologies, which makes elastic componentsfor semiconductor firms, is planning a move to Roseville, Calif.,just outside Sacramento. In Roseville, the company will pay $1 persf for a 27,000-sf building, as opposed to the $2.50 per sf itsSunnyvale landlord will soon begin to charge.

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And Redwood City, Calif.-based InsWeb announced in June that itwould move to Sacramento by the end of the year. Company sourcesestimate it will pay $1.60 per sf there, rather than $7 per sf intheir current quarters.

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Sacramento commercial rents average $1-$2 per sf, while SiliconValley commercial rents average about $7 to $8 per sf.

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