For office space in particular, according to a third quarterreport just issued by Insignia/ESG, the statewide average vacancyrate for all office property types (A, B and C) is 9.84%. A yearago at this time, the rate was 12.75%. The drop is a reflection ofthe fact that the submarkets making up the northern and centralparts of the state have seen total leasing velocity of 11.7 millionsf for the first three quarters (compared to 6.02 million sf forthe same period last year), with net absorption standing at aremarkable positive 2.6 million sf (compared to negative netabsorption of 1.6 million sf last year). The market totals justless than 146 million feet, with an average asking rent of $24.34,according to Murphy.

Murphy credits the level of activity to "the overflow from thetight New York market, pent-up demand from tenants already locatedin New Jersey and, again, the continued strength of the nationaleconomy."

And how about these for vacancy rates: the submarkets with thelowest availability include the Hudson River Waterfront (0.41%) andthe Route 17 Corridor (0.95%). Others on the low end, according tothe report, are Central Bergen County (4.38%), Princeton (5.1%) andthe Garden State Parkway Corridor (6.13%).