Tresham said during the company's recent earnings conference call the REIT faces a high amount of lease expirations in two of its four Downtown buildings--120 S. Riverside and 550 W. Washington. Occupancy at the 685,000-sf 120 S. Riverside is 98.7%, best in a local 2.4-million-sf portfolio where vacancy started the year at just 6%.

Trizec Properties has 254,000 sf worth of leases expiring in 2005, at rates that average $28.09 per sf, with another 269,000 sf rolling over in 2006. That represents 21.5% of the local portfolio. The expirations have begun in earnest, as 156,000 sf of leases are rolling over in the first quarter.

Trizec Properties capitalized on the appetite for office assets, shattering its goal of $300 million in property sales in 2004. The $1 billion in deals included $650 million in sales of office asset totaling 6.8 million sf at capitalization rates below 8%, president and chief executive officer Tim Callahan said. It also took the REIT out of five non-core markets, as well as cleared its last two retail and mixed-use properties off its books.