HOUSTON–Clay Sublett, the new SouthwestRegional Manager of KeyBank Real Estate Capital ischarged with overseeing bank originations throughout the regionincluding Houston, Dallas, Denver, Los Angeles and Phoenix. In thisexclusive interview, GlobeSt.com caught up with Sublett to get histake on the Southwest market and his new role. This is thesecond part of a two-part interview.

GlobeSt.com: Is there a particular city that you arewatching with particular interest? Why?

Sublett: That would be Houston. Overthe last 2 or 3 decades that market has been the poster child forboom and bust. At the present time the amount of job growth,population growth and real estate development taking place in thatmarket is something that reminds me of the oil boom days of thelate '70s and early 80's. Whenever you see tremendous growth in anyeconomy you have to ask yourself, is it is sustainable? Is it abubble and if so when will it burst? Certainly, the talk in Houstonis that "the party is just starting" and that the next decade isvery rosy for this market but we have heard that before. One of themost significant challenges in the real estate finance business isknowing when to back away - timing is crucial. The disciplinenecessary to avoid the mistakes of the last cycle is verydifficult. At Key, we don't want to repeat the mistakes of the lastcycle but we clearly want to be there for our good client.