Work is nearing completion for the 12-story South Tower, whichis fully available and has 303,612 square feet of office space,12,000 square feet of retail space, a 200-seat conference centerand a 100-person childcare facility. Work on the 21-story,358,000-square-foot North Tower stopped after its foundation waspoured in November. The project also includes a two-phase2,000-slip parking structure, the first phase of which is complete,and 50 surface parking spots.

"We have constructed a very unique product in terms of qualityand market position but it's a difficult time," Myers Developmentchief Jack Myers tells GlobeSt.com. "A lot of tenants have taken aseat and we'd like to not get too far ahead of ourselves when comesto the market place. At the same time, we think that the worst ofall that's been going on is behind us and have an abiding beliefand respect for the Peninsula market. While these are disappointingtimes when it comes to leasing the market, the fundamentals overtime are pretty solid, and despite this malaise, stemming fromquestions about the economy, that has given us pause, we remainoptimistic that we have built the right product type for the rightmarket group, and that there are a group of tenants out there thatwould work very nicely in this building."

The development site fronts Highway 101 between Downtown SanFrancisco and San Francisco International Airport. Skidmore, Owings& Merrill LLP designed the towers. Hathaway DinwiddieConstruction Co. is the general contractor. Phil Tippet, James Leesand Tim Grant of CB Richard Ellis have the office leasingassignment. Kazuko Morgan and Courtney Griffen of Cushman &Wakefield control the retail listing. A Call to Stockbridge onMonday morning had not been returned as of Monday afternoon.