The space in the 900,000-sf Sports Illustrated building at 135W. 50th St. near Rockefeller Center won't be ready for occupancyuntil mid-second quarter of 2002 when a $12-million to $15-millionrenovation of the building is completed. Even so, many companiesare expressing serious interest.

"If this space was available today, it would already have beenrented," says Tom Bow, vice president of leasing at the DurstOrganization, which controls the building under a long-termmanagement agreement with the right to purchase. "This isdefinitely a unique opportunity and we've had a lot of activity. Wehope to have a substantial amount of the space rented out by theend of the year, although no deals have been signed yet."

Bow says the Durst Organization is having conversations withfinancial services companies, insurance companies, computercompanies and mid-size law firms. The asking price is $65 per sfwith a work allowance of $30 per square foot and a free-rent periodequal to construction time. The asking price has been the samesince mid-summer, and Bow said Durst is sensitive about not takingadvantage of changed market conditions caused by the destruction atthe World Trade Center.