"My concern about San Mateo is we have an increasing problemwith traffic, and I believe that being located in areas where wehave most of the meetings and in areas accessible by publictransport will be a definite plus," says a company source. "Thefaster you can get to the city, the better you are."

Meanwhile, the architectural firm Gensler is packing its bagsand moving out of the city – across the bay into San Jose. A staffof 18 will work in the 325 South First St. office beginning inJanuary. Jeff Luney, formerly vice president at real estate firmJones Lang LaSalle, has been hired to lead the office. "We've foundit's hard to deliver timely services when your headquarters is inthe Financial District of downtown San Francisco," says Luney. "Itmade abundant sense to take talent and expand our existingclientele and establish a base in San Jose."