The 160,000-sf telcom shell is located on Duane Avenue nearHighway 101 and the San Tomas Expressway. Sutton says he has moreinterest than space available, and expects to have signed leases inthe next 30 days, about when the building will be ready for tenantimprovements. The going rate for the space is $3.75 per sf permonth

"We have raised prices twice," Roley tells GlobeSt. "If itdoesn't lease soon, we will probably raise them again--because wecan."

The building, designed specifically for telcom users, is beingdeveloped by Pelio & Assoc., which is big into telcom space.San Jose Construction is managing the building process. Designedspecifically for telcom users, the building will likely be leasedby a few tenants taking large spaces, Roley says. The building isbeing developed down the street from another Pelio telco project,which was leased last year to Qwest Communications.