"We've had a difficult time having people accept this as a commercial zone," Desmond told Urban Land Institute Chicago's monthly breakfast meeting Thursday. "If we can get that first guy to go in there, that'll be a big step for us."

Central Station pitched the area south of Roosevelt Road and east of Michigan Avenue to Blue Cross/Blue Shield officials before the health insurance company chose to locate within Illinois Center in the East Loop, Desmond says. More recently, the developers tried to lure ABN Amro south, but the Netherlands-based holding company that owns LaSalle Bank here opted for the West Loop, across Clinton Street from Metra's Ogilvie Transportation Center.

Central Station's plans set aside 25 acres for a high-tech, medical and telecommunications corridor near McCormick Place.

Sparked by $2.5 billion in public infrastructure investment, more than 60% of it aimed at enlarging the nearby McCormick Place convention center, the Near South Side is seeing an equal amount of private investment in a residential boom that has added 10,000 units since 1997, which will result in a population increase of 23,000 by 2004, Desmond says. His company's development will have 2,300 units. Among those residents are Bridgeport native Richard M. Daley, the city's mayor.

Desmond thanks Fed chairman Alan Greenspan for a low-interest rate environment that has fueled residential development not only at Central Station, but throughout the market. However, he notes, "What he gives, he can take away."

Besides office space, Central Station's plans include 250,000 sf of retail space along Roosevelt Road. Further west, the Dominick's grocery chain already has its largest store in the market.

In addition to its own retail space, Central Station also could include two hotels totaling 2,000 rooms according to plans.

While Daley typifies the South Siders who call Central Station home, Desmond says sales are drawn from the suburbs as well as one unlikely neighborhood – the trendy North Side. "The biggest group we're surprised with is the number of North Side buyers," says Desmond, adding the greater availability of parking is the magnet. "We sell them a $250,000 parking space and throw in a condo for free."

Legacy Development Group's 68 Townhomes of Prairie District Homes, located at 18th Street and Prairie Avenue and priced from $569,900 to $619,900, are almost 90% sold. Meanwhile, Legacy's 23-story, 170-unit Tower Residences of Prairie District Homes at 1 E. 14th St., where condominiums sell from $192,900 to $630,900, is 40% sold.