Specifically, Fitch notes Spieker's strong rent growth, which islargely supported by an average remaining lease term of 3.6 years.That average is substantially less than Spieker's competitors,meaning the developer enjoys more potential tenant turnover andopportunity for increased rental revenue. Fitch also mentionsSpieker's "strong" management team, market expertise and"high-quality" properties in strategic markets.

At the end of Q3, Spieker averaged 97.7% occupancy, with no endin sight for its razor-thin vacancy. Suburban office propertiesaccount for about 81% of the firm's net operating income - up from74% at the end of 1999 - while 19% is industrial. Last week,Spieker's existing $250 million unsecured revolving creditagreement was replaced by a new three-year, $400 millionfacility.

Spieker concentrates on specific West Coast locations, with 51%of its portfolio in the San Francisco Bay Area. A solid 27% ofthose 39 million sf are in Silicon Valley alone, followed by 14% inthe San Francisco Peninsula submarket and 10% in the Oakland/EastBay submarkets. Other major holdings are in Portland (10%), OrangeCounty (10%), Seattle (10%) and Los Angeles (8%).