Although bean-counting methods differ, office groups say the sector's vacancy citywide is 20%, putting Dallas in the third highest slot in the US. Nonetheless, the absorption--pushing above three million sf for two consecutive years--is predicted to happen again this year. And, they say, the Uptown and Downtown projects in Dallas and Fort Worth are welcome sights to a large degree because so much class A space has been absorbed.

Likewise, industrial movers and shakers say the 15 million sf that's underway isn't destined to create turmoil with vacancy, which is now averaging 10% in the region. The only difference between the two sectors is rent growth, but the prognosis is that industrial will tick up just slightly again this year. Office rates rose 6.5% in the past year.

The positive reading came from a NAIOP panel at its monthly meeting at the Dallas Country Club in Highland Park. The featured attraction, moderated by Bill Cawley of GVA Cawley, had Randy Cooper, executive director of Cushman & Wakefield of Texas Inc. and Phil Puckett, managing director of CB Richard Ellis, taking the pulse of the office market and Tom McCarthy, executive vice president of Staubach Co. and Rick Medinis, executive vice president of NAI Robert Lynn, giving the industrial reading.