Developers keep an eye on the future as market competition is heating up.

In 2005, architects are beginning to see an increase in commercial real estate activity. New Jersey developers in particular have increasingly called on our firm to not only master plan and design new construction projects, but also to upgrade recently acquired properties and to update previously completed plans for buildings which were left undeveloped and were consequently affected by recent changes in building codes. We are also working on a number of build-to-suit projects as several industries in New Jersey experience expansion.

Today, we see developers seeking approvals to develop the vacant land held in their portfolios, as well as to have drawings ready for permitting and construction starts. Other developers have started construction on a speculative basis--an event not seen in the commercial real estate market for many years. Why? Today's activity is not being driven by favorable tax codes as it was in the 80's, or by a booming economy of the 90's.

The answer is the future. Development today is being driven by developers who seek to stay ahead of their competition, to provide new product in given locations in order to achieve high tenant retention or to attract new and better quality tenants.

In addition, we are seeing our development clients looking to expand their business base, including changing from purely suburban office developments to urban mixed-use projects.

We also see an increasing number of private/public partnerships, in which private developers join with public agencies to accomplish build-to-suit projects. Institutional clients, such as colleges, universities and hospitals, are seeking private developer partners as well, in order to develop needed off balance sheet facilities like research centers, outpatient facilities, parking garages, libraries and student housing.

On the design side, security, increased space flexibility and the movement towards sustainable design have all become major forces in building design. Post-9/11 buildings have a special emphasis on tenant security and safety. Site planning, building and structural system selections, common area layouts and building access have all become key design criteria for today's buildings. Providing increased flexibility to address both tenant uses and tenant planning is also becoming increasingly important in designing office facilities.

This translates into increased bay sizes to minimize columns and increased floor-to-floor heights to allow for higher ceilings. Sustainable design is rapidly becoming an amenity attracting progressive and savvy companies that see it as an advantage in attracting the "brightest and best" employees. In design, this involves selecting energy efficient building systems that can improve air quality and increases the use of natural light.

What has not changed in design is the importance of a tight, efficient core that lowers a building net to gross factor and building floor plates. that allow for either small tenants or full floor occupants.

As the demand continues to grow for commercial design, these trends will factor into the latest office facilities to enter the marketplace.

EDWARD N. ROTHE 

SENIOR VICE PRESIDENT FLETCHER THOMPSON ARCHITECTURE ENGINEERING