The just-released C&W report shows the I-15 Corridor led allareas of the county with its direct positive absorption. The nextbest-performing area was Carlsbad with 119,416 sf of positiveabsorption. All other submarkets reported negative activity "as thecounty continues to adjust to corporate belt-tightening in the wakeof slower economic growth," the C&W team says.

Among the high-profile tenants taking space in the corridor areSony, Yahoo! and the Paradigm Group, all of which are expandingtheir San Diego presences with locations at the Point in RanchoBernardo. Chase Manhattan has reaffirmed its commitment to the areaby renewing its 127,000-sf lease in Bernardo Heights CorporateCenter.

Tom van Betten, a C&W director, explains that, even thoughoffice leasing activity has slowed countywide, most companiesrecognize there is a limited supply of land for development. And ifthe potential for future expansion is an issue, they must considerlocating in the I-15 Corridor, he says.