PORTLAND-After learning the 23,000-sf site can't continue as a drive-thru restaurant, McDonald's assigns its purchase option to architect Alan Kravitz in trade for an option to lease 2,500 sf in the 80,000-sf mixed-use project he's planning for the site.

SAN FRANCISCO-Despite the recent dot-com bomb in the San Francisco and Silicon Valley markets, the cities manage to remain two of the world's most expensive cities in which to lease office space.

LONDON-Edinburgh is the most expensive office location outside London, according to new data from Knight Frank. The downturn in the market in London and the South East has yet to spread to the regions.

AUSTIN-The decision's still out as to whether the reorganizing Southern Union Co. will downsize its office space as it cuts 48 jobs and relocates some Austin functions. The energy company has reserved 60,000 sf in the under-construction Barton Skyway IV.