"Someone screwed up big time," one source maintains inestimating to GlobeSt.com that the faux pas could amount to "a$100-million mistake" given the length and terms of the lease,which reportedly escalates to a near-record rate for Cambridge of$72 per sf. When signed earlier this summer, the agreement washailed as a landmark deal for the building and the market.Microsoft was expected to move close to 1,000 employees to OneMemorial Dr. during a three-part lease up slated to begin nextmonth.

When contacted by GlobeSt.com, EOP had no comment beyondstressing that work is proceeding on the first piece of Microsoft'srelocation, while an official at PA Consulting says she is unawareof any dispute. A Microsoft spokesman declined to say whether itslease would be impacted, only offering that, "since this is aprivate dispute to which we are not a party, we have nocomment."

The overlooked tenant reportedly has an option for space on the15th, 16th and 17th floors. The problem, according to sources,occurred because the option was not addressed when Microsoft agreedto expand its commitment to One Memorial Dr. from an initial leasesigned in April. Under terms of the final lease, Microsoft was tobegin occupying the top three floors by 2009 while moving to thefirst, second, ninth, 10th and 11th floors in the two initialrounds.