The metro area's 48.2-million-sf office market has posted itsninth straight quarter of positive net absorption in the first 90days of 2006. Vacancy has improved to 9.4% from 10.4%. Averagequoted rents are stable at $24.47 per sf Downtown and $22.15 per sfin the suburbs.

"Most markets are seeing construction continue despite increasedcosts," says Jeffrey Sweeney, managing principal and president ofGrubb & Ellis/Commercial Florida. But "major developments inand around the CBD may soon cause the market to soften upondelivery in third quarter of 2006," he predicts.

Net absorption increased to 719,362 sf in first quarter 2006from 439,299 at yearend 2005. Downtown's 7.6-million-sf inventoryled the submarkets with 377,224 sf of net absorption. Theseven-million-sf Maitland and Maitland Center submarket followedDowntown with 154,118 sf. East University showed 124,996 sf ofpositive absorption. Lake Mary/Sanford had 102,627 sf.