"It's one of the crummiest submarkets in all of Phoenix. Itaverages about 26% office vacancy. There's a lot of product thereand the last couple of years it's been a tenants' market," DanDobric, a broker at Presidio Commercial Services in Phoenix, tellsGlobeSt.com.

Eclipsys Corp. of Boca Raton, FL, signed a $3.7-million leasewith Presidio Investments of Phoenix in the Four Gateway officebuilding at 444 N. 44th St. Built in 1999, the 137,836-sf Gatewayis one of the newer buildings in the submarket. The new dealboosted occupancy to 82%.

All would-be tenants are offered three months of free rent and afull TI package at Four Gateway. Dobric explains many tenants whowere once located in the class B Gateway submarket have been ableto upgrade to class A space for about the same price. He predictsthat the amenities being offered will fill up the submarket in thenext two years. Gateway's other selling points include apositioning close to Sky Harbor International Airport and majorfreeways.