Prendergast indeed lost the one signed tenant as a result of the change, but instead of an office building going up in a down economy less than 20% preleased, he now has a 148,000-sf office building fully permitted and ready to go up quickly when the economy rebounds. The site, served by the city's new trolley, is just off the new Lovejoy Street ramp, in an area filling with high-end condominiums, apartments and retail.

When Prendergast broke ground on the project at 10th Avenue and Lovejoy in late 2000, he had no signed tenants and plans for an 80,000-sf, six-story project to be completed at the end of 2001. It quickly became less speculative when leasing agent Mark Fraser of Colliers International signed Young & Roehr for the second floor of the project and a portion of the first.

Just before Prendergast was to begin pouring concrete, however, the city decided to extend a height bonus on nearby properties to Prendergast's property and several others. Having wanted to go higher in the first place, Prendergast happily had Bob Thompson of Thompson Viavoda & Assoc. redesign the building as a taller, skinnier office tower.