SAN DIEGO—Irvine Co. Office Properties has purchased Gateway at Torrey Hills, a class-A, two-building, 198,000-square-foot office campus in the Del Mar Heights submarket. As we reported in September 2017, the company purchased the nearby two-building, 127,000-square-foot office project named Township 14—its first acquisition in the submarket.

Rick Reeder and Brad Tecca of Cushman and Wakefield's capital-markets group represented the seller in the transaction. C&W reports that the sale price was $105 million and that the seller was an institutional real estate investor. In addition, C&W leasing specialists Brian Starck and Joe Anderson of the same office performed market advisory services.

Real Capital Analytics reports that PGIM Real Estate purchased the property, located at 3580 Carmel Mountain Rd., from developer Cisterra Partners in June 2009 for $77.1 million; the property was completed in 2008. The website does not report a sale of the property since that purchase.

The four-story buildings in the project feature stone-and-glass facades, flexible floor plates, modern interior features and on-site parking. Other amenities include a fully equipped fitness center with locker room and showers, art installations, multiple patios and outdoor workspaces. Irvine Co. plans to add and enhance the outdoor workspaces while offering customers “premium on-site and on-demand services,” according to a prepared statement.

GlobeSt.com was unable to reach the Irvine Co. before deadline for further elaboration on its plans for the property and confirmation of the purchase price, although the firm is known for its long-term hold strategy.

Tenants in the space include BDO USA, Mindbody Inc. and law firm Mintz, Levin, Cohn, Ferris, Glovsky and Popeo PC.

“Our decision to acquire Gateway at Torrey Hills is another sign of our long-term faith in San Diego as a nationally recognized center of innovation,” said Doug Holte, president of Irvine Co. Office Properties, in the statement. “Irvine Co.'s focus on delivering vibrant workplace communities aligns well with Del Mar Heights' remarkable combination of attractive housing, recreation, retail, transportation, as well as access to workforce talent and leading businesses.”

As we reported in October 2017, John Turner, Irvine Co. Office Properties' regional VP, told us that in San Diego—as in all its markets—continuously researches and talks to local companies, civic leaders and innovators with the goal of offering a world-class, customized experience. The firm is bullish on the UTC market here as well as several other submarkets.

Irvine Co. currently owns six class-A towers in Downtown San Diego: One America Plaza, 101 W. Broadway, 225 Broadway, 501 W. Broadway, Symphony Towers and Wells Fargo Plaza. It also owns and operates La Jolla Gateway, the Plaza, La Jolla Square, One La Jolla Center and several other projects in the La Jolla UTC, Sorrento Mesa and Mission Valley submarkets.

Instant Insights /

Irvine Co. Picks Up Another Major SD Office Asset

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