Downtown Portland was on center stage this year with the openingof two significant projects: The Mills Corp.'s Pioneer Place II,which brought Saks Fifth Avenue Men's to Portland; and BananaRepublic, which opened its flagship store in the new Fox Tower,which sits on one of the best retail corners in the city.

In 2001 - thanks to an increase in office and industrial leasingactivity west of Portland this past year – the report predictsincreased retail development and leasing activity in the SunsetCorridor "as retailers search for ways to meet the needs of theever-growing and highly affluent residential and office populationputting down stakes in the silicon forest." The most significantnew project in the corridor, The Shops at Tanasbourne, is currentlyunder development by Federal Realty Investment Trust. Originallyenvisioned as a 300,000-sf upscale specialty mall with no majoranchor, it is now widely rumored that Meier & Frank will be ananchor tenant. "Although plans are currently being reworked,Federal will remain committed to the vision of a series of singleand multilevel buildings that will form a "main street" shoppingdistrict," according to the report.

On Portland's east side, another urban retail project isunderway to compliment the airport light rail line that is beinginstalled. Cascade Station, a joint venture between Trammel CrowCompany and Bechtel Enterprises, recently announced the sale of 45acres to MBK Northwest to develop a 400,000 square foot retailcenter. Early signers are rumored to include Nordstrom Rack, REI,Staples, Borders Books & Music and Linens & Things. Theproject also will feature a cluster of restaurants anchored by anew addition to Portland, California-based Claim Jumpers.