Orange County in California has gone through a period of interesting developments when it comes to its commercial real estate market. There have been some major sales, purchases, and leases. Furthermore, real estate companies within the county have started to venture further afield, entering markets in other states. There have also been some personnel reshuffles and future developments are known to be in the pipelines.
Commercial Real Estate Changes in Orange County
Senior Living Communities in Orange County
Four senior living communities in Orange County were recently sold in a deal brokered by CBRE Capital Markets, based in Los Angeles, for $1.15 billion. The full portfolio contained 19 senior living properties, and they have been purchased by Welltower Inc.
The 19-property portfolio offers a combination of independent living, assisted living and memory care in premium locations concentrated in Southern and Northern California, including the Los Angeles and San Francisco metro markets.
The properties in Orange County are Vintage in Mission Viejo, The Regency in Laguna Woods, Las Palmas in Laguna Woods, and Bradford Square in Placentia.
Other Major Commercial Properties Sold
Meanwhile, other major commercial real estate sales have also been taking place. Shopoff Reality Investments, based in Irvine, CA, for instance, has started purchasing properties in other states, including Nevada. Bascom Group, also based in Irvine, sold some of its properties in Colorado. Meanwhile, Orange County itself is starting to become increasingly interesting for out of state investors. For instance, JPI, a building company from Texas, has entered into a second partnership with the Grand China Fund, a private equity firm in Beijing, in order to develop the Platinum Triangle in Anaheim.
The development will include 400 residential units with a combination of studio, 1, 2 and 3-bedroom floor plans. Residents will enjoy access to a variety of amenities and recreation facilities.
In addition, CBC Advisors Orange County’s Scott Hook and Daniel Tyner have sold La Habra’s Big Lots building. A private investor purchased this building for $4.6 million. The investor was represented by Jones Real Estate.
Class A Office Property in Irvine Sold
Meanwhile, in Irvine, a huge Class A office property has been sold as well. However, no details regarding this sale have been released, which will have been negotiated by the teams representing the buyer and the seller. The property is located in the submarket of the airport. Both the buyer and the seller were represented by NGKF.
Health Facilities in Orange County
There also seems to be a major new focus on health facilities in Orange County. In fact, Avison Young, which is based in Toronto, Ontario, Canada, has arranged three new 15 year leases for 24 Hour Fitness. Avison Young now also has an office in Irvine, from where they were able to represent 24 Hour Fitness.
The first of the three leases is in Santa Ana, which will open at the start of 2017. 24 Hour Fitness will be the property’s anchor tenant, sharing the space with Factory-4-U and Smart & Final. Before the fitness center took it over, O’Reilly Auto Parts Super Store was located here. The second lease is in Huntington Beach at the Huntington South Center. This gym will also open at the beginning of 2017 and the space that it will occupy was previously leased by Albertsons. There are other tenants in the building, including Starbucks, Subway, Juice It Up!, and H&R Block. The last of the three properties is in Fullerton, which will open after March 2017. The space they have leased here used to house Office Depot. The center currently also includes Floor and Decor, and Best Buy.
Besides some major purchases, sales, and new leases, there have also been a lot of personnel moves in Orange County. For instance, Cushman & Wakefield have recently welcomed Conrad Anderson to their office, who is a specialist in corporate real estate and capital markets solutions. He has some of the world’s biggest clients, including Bank of America, Lloyds Bank, Union Bank, Wells Fargo, Swedbank, Gateway, Bank of the West, Citibank, Cinatrust, and Sterns Bank.
Meanwhile, Irvine’s CapRock Partners has hired Nicholas Ilagan to be their regional property manager.
CapRock Partners is one of the West’s leading private commercial real estate investment firms and is headquartered in Irvine, California. The company is led by a team of seasoned commercial real estate experts who have completed more than 16 million square feet of property, spanning more than 6,500 acres of land, with an overall value in excess of $2.5 billion. Their focus is on applying a strategic entrepreneurial approach to the acquisition, development and management of institutional quality assets.
Ilagan was already part of CapRock Partners, having been attracted as a strategic consultant in 2015. Prior to that, he was a product council chair and national director for Sperry Van Ness International’s property and asset management division. Now that he has fully joined CapRock where he will take on the role that Jake Loughridge previously held. Loughridge is moving to Belay Investment Group, a private equity investment firm in Los Angeles. His specialization will be in joint ventures within the strategic real estate market.
Buildings Maintenance & Management Expo
BMME, the Buildings Maintenance & Management Expo, is set to take place at the Anaheim Convention Center on October 25th. Main topics of seminars will include operations, sustainability, and building management. There will also be a focus on smart building systems, compliance, security, seismic retrofits, energy storage, and micro-grids. Meanwhile, industry experts from the energy and utility industry, as well as from the Orange County Sheriff’s Department will be present. They will hold a crisis management and shooter clinic there. The BMME is free to attend, although it is recommended to preregister.
Panel Discussion of the Orange County Chapter of the Risk Management Association
Additionally, the Orange County Chapter of the Risk Management Association is set to host a panel discussion on October 26 at the Pacific Club. The discussion has been named “Real Estate & Construction Lending: Industry Trends and How to Get It Done”. A number of highly prominent experts in the commercial real estate market will be present at this event. Cost to attend is between $40 and $45 depending on membership status and registration can be completed online. Hors d’oeuvres and wine will be served during the event.