By most estimates, upwards of four million sf of new industrialspace has been put on the market in just the last year. That wouldseem to provide plenty of options for end-users, but "most of thathas already been absorbed," says Hayden Tiger, regional directorfor First Industrial Realty Trust in Livingston, NJ. "That 'sleading to a wave of new development that, itself, will most likelybe absorbed even before it hits the market. This building-in-checkwill prevent a glut of space, and vacancies will remain low."

Because of the market's tightness, developers are looking forever more inexpensive land on which to build. Some of the new hotspots, according to Tiger, are in relatively unlikely places likeMorris and Somerset counties, largely suburban and rural untilnow.

Even in the highly industrial NJ Turnpike corridor, things arechanging. There, development is moving southward: "Exit 7A hasbecome a hot spot for distribution," Tiger reports. Exit 7A issouth of Trenton, a good 50 miles south of Newark.