The Burbank-based Construction Industry Research Board reports that builders pulled permits for 4,049 apartment and condominium units across the county in the first half, up more than 15% from a year earlier. Permits valuations were also up sharply—to $41.7 million from $27 million in the first half of '99—in a sign that builders are opting for more upscale condos and apartment projects.

Though city leaders have been clamoring for developers to build more affordable housing, just about every apartment unit in San Diego is full regardless of the monthly rent. The county's overall apartment vacancy rate has dropped to around 2%, according to a recent report from the local office of Palo Alto-based Marcus & Millichap Real Estate Investment Brokerage Co., and some communities literally don't have a single vacant unit available.

Permits for new industrial and office developments in the first half totaled $287.5 million, a 20% gain from the first six months of '99. Though the increase was impressive, analysts note that the industrial and office figures can swing wildly based on whether just one or two major projects are permitted at the end of one quarter or the start of the next.