Replacement Cost Drives Foreign Capital

ORANGE COUNTY, CA-Buying properties at less than 70% of what it would cost to build them attracts Asian office investors here, CBRE's Anthony DeLorenzo and Paul Jones tell GlobeSt.com in this UPDATE to an earlier story.

By Carrie Rossenfeld | Updated on January 22, 2014

ORANGE COUNTY, CA-Buying properties at less than 70% of what it would cost to build them is attracting Asian office investors here, Anthony DeLorenzo and Paul Jones, investment brokers for CBRE, tell GlobeSt.com. To many foreign investors, buying in Orange County is a bargain compared to some other major West Coast markets.

As GlobeSt.com reported earlier this week, for the first time since the market’s peak in 2007, Orange County’s office transaction volume exceeded $1.1 billion in 2013, which is on pace with San Diego, according to CBRE. DeLorenzo and Jones told GlobeSt.com that several groups are underwriting in Orange County, which is driving up prices. Among those investors is a fair amount of Asian buyers, DeLorenzo tells us.

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