Total business park absorption for 1999 increased 14 percent across the Tampa Bay Region compared to the 1998 level. Five of seven counties showed increased leasing levels. Across the region, 1.8-million sf of spec space was completed, increasing total gross leasable space by 2.5 percent. Hillsborough County's net 1999 absorption was 15 percent above the 1998 level, with the vacancy rate down 0.3 percentage point from year-end 1998. Completed speculative construction increased the county's stock of space by 1.7 percent. The sub-market west of I-275 recorded net 1999 absorption that was more than three-and-one-half times the 1998 level. Here, the vacancy rate fell 4.4 points from year-end 1998. Construction was started on 70,000 sf of speculative space at Westlake. A total of 123,950 sf of speculative space was completed in the sub-market during the year. WestLake's first building, was leased in its entirety to Curtin & Pease Penneco.

Bucking the regional trend, last year's net absorption east of I-275 was down 18 percent from 1998. The vacancy rate moved up 1.3 points. Construction was started during the quarter on Fairfield V at Highland Oaks with 100,000 sf of spec space, and on 65,380 sf at Silo Bend. Construction was completed during fourth quarter on a 42,000-sf build-to-suit for Canaris Pump at Oak Creek, on 86,600 sf of speculative space at Highland Oaks, and on 96,000 sf of spec space at Palm River North. During 1999, 434,600 sf of speculative space was completed marketwide.

Pinellas County's net 1999 absorption more than doubled the 1998 level. The vacancy rate at year-end was up 0.4 percent from year-end 1998. Construction was completed during the quarter on 133,000 sf of speculative space at Oldsmar's 580 Corporate Center. Countywide, 980,200 sf of speculative space was completed during 1999, increasing the stock of existing space by 5.6 percent.

In the Pinellas Gateway, 1999 saw net absorption of 136,310 sf compared to a net loss in occupancy in 1998 of 145,260 sf. The vacancy rate was up 2.6 points from year-end 1998. Fourth-quarter construction completed included 105,000 sf at Park West in Gateway Centre. Gateway saw completion of 23 percent of the county's new speculative space.

Manatee County's net 1999 absorption was 52 percent higher than in 1998. The vacancy rate dropped 2.1 points if Palmetto Corporate center is included, 2.6 points for the rest of the county alone. New construction was started during fourth quarter on a 28,000 sf expansion at Cygnet Center. Completed construction for the year totaled 56,000 sf.

In Sarasota County the year's net absorption was up 86 percent over the previous year, while the vacancy rate slid just a tenth of a point. Construction was completed during the fourth quarter on 30,000 sf of speculative space at Tower Commerce Park and on a 31,000-sf build-to-suit for O. William Lindberg (TVC) at Lakewood Ranch Corporate Park. Total speculative space completed for the year was 64,000.

Polk County's 1999 net absorption was one and one-half times the 1998 level. The vacancy rate dipped 0.4 point during the year. Two build-to-suits were started during fourth quarter, a 45,000 sf expansion for Keymark at Ruthven Center-Knights Station, and 20,000 sf for GE Capital at West Lakeland Industrial Park. Construction was completed during fourth quarter on 40,000 sf of speculative space at Ruthven Center-New Tampa Highway. For the year, 99,000 sf of speculative space was completed.

Pasco County's net annual absorption was down 64 percent. The vacancy rate moved up 1.6 points. New speculative construction totaled 28,300 sf, for a 2-percent increase in total leasable space. Hernando County also saw less net absorption in 1999, down 76 percent from 1998. The vacancy rate dropped from 0.9 percent to zero, then rose back to 0.2 percent. Hernando is primarily a build-to-suit market. For more detailed information on the survey call the Maddux Report's Research Department at 727/321-3225.