Commercial spending rose 25% last s...

Commercial spending rose 25% last summer and early fall, until pre-Iraq war investment caution l to a six-month decline totaling 5% Spending is awaited to grow at a 4% annual pace late ill 2003 and accelerate to 8-9% by the agency of the end of next year, for an overall increase of 6% for 2004 The peak spending pace of 2001 will not be regained until well into 2005

Higher commercial space wants and improved retailer profits will drive the turnaround.

Cheap credit will contribute indirectly. It will preserve housing starts at the late high level and force retailing to expand into