OCEANSIDE, CA—McDonald Property Group, an industrial development company headquartered in Newport Beach, has begun development on First Park @ Ocean Ranch, a 237,276-square-foot industrial park in Oceanside. The $27.5 million development marks the first speculative industrial project in North San Diego County since 2008, and is scheduled for completion by the end of the year.

First Park @ Ocean Ranch will be comprised of three buildings suitable for distribution, warehousing or manufacturing users. The project is being developed by McDonald Property Group and First Industrial Realty Trust, the owner of the project.

“This is a milestone development between our firm and First Industrial, and is one that we expect will meet with success given our collective experience and knowledge of Southern California markets,” said Bruce McDonald, principal and founder of McDonald Property Group.

First Industrial Realty Trust is a publicly-traded REIT and is a leading owner, operator and developer of industrial real estate with 66 million square feet of industrial properties under management nationwide.

“First Industrial is excited to further expand our portfolio in Southern California by investing in the development of these high quality distribution facilities to meet growing tenant demand,” said Ryan McClean, senior regional director of First Industrial in Southern California. “We are pleased to have the benefit of the McDonald Property Group's expertise and talents as together we move full speed ahead in bringing these buildings to market.”

The project is being developed on a 15.8-acre site in Ocean Ranch, located off the I-5 freeway at Oceanside Boulevard. Ocean Ranch is premier industrial location in North San Diego County and is home to Coca Cola, Taylor Made and Genentech, among others. Newly planned facilities for US Foods and FedEx are underway as well.

“Fundamentals in the North County submarket continue to improve, and we believe First Park @ Ocean Ranch will be an attractive home for a range of potential users operating within the region,” added McClean. 

The project will consist of three light industrial buildings that measure 108,413 square feet, 63,262 square feet and 65,600 square feet. Buildings will accommodate either single users or up to 12 tenants in varying sizes, with target tenant sizes in the 20,000- to 40,000-square-foot range. Dennis Visser of DTZ is leasing the project.

First Park @ Ocean Ranch is the first development for Bruce McDonald as head of McDonald Property Group, a company he formed in 2014 following a distinguished development career in Southern California. McDonald previously co-founded Master Development Corporation and was U.S. managing director for DEXUS Property Group.

In addition to First Park @ Ocean Ranch, McDonald Property Group has two other significant projects underway. The company, in conjunction with its investor USAA Real Estate, is developing Crossroads Logistics Center in Beaumont. This project includes 130 net acres of fully improved and entitled land that will support the development of 2.8 million square feet of distribution and e-commerce facilities. Crossroads Logistics Center will be one of the largest Inland Empire industrial developments over the next few years, with an estimated completion cost of $150 million.

McDonald Property Group was also selected in January to advise on and represent the disposition of a sizable land portfolio in the Inland Empire that was gifted by the estate of John Boruchin to the Jewish National Fund of New York City. Boruchin, a Jewish immigrant and Holocaust survivor who settled in Fontana. in the 1950s, was instrumental in the development of several thousand acres of land in the region.

The properties consist of 25 land assets totaling more than 300 acres and valued at approximate $100 million, and are located throughout various cities in the Inland Empire. It has been reported that the Boruchin gift is the single largest donation to the Jewish National Fund.

“This fiduciary assignment is an excellent fit for our skill set and market knowledge in the Inland Empire, and it is an honor to dispose of these assets for the Boruchin estate on behalf of JNF,” said McDonald.

McDonald Property Group is an industrial development company that develops large scale industrial projects both in joint ventures with institutional capital partners and on behalf of REITs in a non-partnership capacity. The company was formed in 2014 by Bruce McDonald, an established Southern California industrial developer.