Abstract: A split-air arrangement for cooling and dehumidifying air in an indoor conditioned space includes separate first and second courses created from an entering air stream. The first course passes through a desiccant device to remove humidity from the air, the air leaving the desiccant device passing through a first cooling coil to cool the air and the air leaving the first cooling coil entering a supply air plenum. The second course is directed through a first side of a heat exchanger, the air leaving the heat exchanger being heated by a heater element prior to picking up moisture from the desiccant device. Air leaving the desiccant device passes through a second side of the heat exchanger, and subsequently passes through a second cooling coil to cool and dehumidify the air in the second course. Exiting air is mixed with the first course air and returned to the conditioned space in which the process air flow is maximized relative to the regenerative air flow while still permitting effective latent cooling.