(Mark Your Calendars: RealShare REAL ESTATE 2012, March 22^nd in Los Angeles).

IRVINE, CA-Menlo Equities has closed on its purchase of the Irvine Crossings project, a 420,000 square-foot industrial warehouse and data center for $47 million. Trent Walker and Sam Olmstead of Voit Real Estate Services’ Irvine office directed the off-market sale, and Walker tells GlobeSt.com that “This deal is a true example of a value-add property changing hands.”

Walker represented the seller, Irvine Crossings LLC, and, both Walker and Olmstead the buyer, which specializes in the acquisition and development of high-profile office, R&D, and engineering commercial real estate, according to its website. The company’s portfolio includes more than 30 commercial properties in Northern and Southern California.

Irvine Crossings is situated on 21.7 acres at 17871 Von Karman and 17836 Gillette here in Irvine, CA. The building is currently 100% occupied by Savvis, a data center, and 3PL, a third-party logistics company.

“The Voit team was tasked with identifying a buyer who was in the market for a high-quality investment property,” Walker says. He tells GlobeSt.com that “Investors are always seeking value-add opportunities, and these can be rare in Orange County, especially in larger sized buildings.”

In this case, Walker adds, the buyer, which owns office buildings that are adjacent to Irvine Crossings, “recognized the potential for either future expansion of the data center or a re-development down the road. Opportunities like these make a deal a win-win for an investor.”

He adds that “The in-place industrial rents were low.”

According to a national industrial forecast from brokerage firm Grubb & Ellis, demand will accelerate in 2012, but given the sluggish domestic and overseas economies, only by about 15% to 130 million square feet. Large blocks of space will continue to outperform, says the firm.

Instant Insights /

420,000-SF Off-Market Deal Shows &#145;True&#146; Value-Add

Related Stories

Recommended For You

420,000-SF Off-Market Deal Shows True Value-Add