Office Rebranding Reels in More Tenants
SPPI developed its first office buildings more than 30 years ago and remains bullish on the region, with plans to hold office asset, 1200 Concord, after an extensive tenant-driven renovation and rebranding.
CONCORD, CA—Owned by Concord-based Sierra Pacific Properties Inc./SPPI, recently repositioned and rebranded 1200 Concord is part of Concord Airport Plaza which also includes 1220 Concord. The two-building six-story class-A office buildings total approximately 360,000 square feet.
Cerus Corporation and Homebridge Financial Services Inc. recently relocated to the office campus. Cerus took down 65,092 square feet in an 11-year lease and HomeBridge Financial leased 3,597 square feet.
“We are pleased to be staying in the city of Concord where the company was founded over 25 years ago. Concord’s central East Bay location allows us to recruit from a great pool of talent in the region,” said William “Obi” Greenman, Cerus’ president and chief executive officer. “In addition, the new lease allows us to consolidate our existing facilities under one roof as the company grows.”
The longest tenured and largest office landlord in Concord, SPPI developed the 600,000-square-foot 10-story Concord Gateway Towers, the 230,000-square-foot 10-story Metroplex and the 150,000-square-foot North Pointe Tech Centre prior to its purchase of the former Concord Airport Plaza in February 2017. SPPI rebranded Concord Airport Plaza as 1200 Concord and is pursuing a multi-million dollar transformation of the property.
SPPI is now working with architect Aston Pereira on a significant lobby renovation utilizing imported Italian marble, adding a tenant conference center with a separate break-out room and adjacent exterior patio meeting area. SPPI is also adding a new tenant fitness center featuring interactive cardio machines, strength stations, free weights and stretching areas with adjacent showers. Water-efficient planting is being incorporated into the landscape and the center fountain courtyard will include tenant activity and collaboration areas. New signage monuments will also mark the entries.
Newmark Knight Frank/NKF executive managing director Breck Lutz and senior managing director Alex Grell represented SPPI in both leases. Cerus was represented by CBRE and Homebridge was represented by Cushman and Wakefield.
“Cerus Corporation’s decision to locate to 1200 Concord Ave. is a promising indicator that large block users favor the Concord class-A market. The North I-680 office market saw healthy levels of tenant activity in the first quarter of 2018. In contrast with the past several years, the activity was not spearheaded by tenants looking to relocate within the market to the more cost-effective submarkets,” Lutz tells GlobeSt.com. “Instead, the majority of the activity derives from new tenants who are looking to relocate from Oakland or San Francisco to the North I-680 Corridor.”
SPPI developed its first office buildings more than 30 years ago. The firm remains bullish on the region and plans on holding 1200 Concord, along with its other office properties, for many years. According to NKF, both tenants were drawn to 1200 Concord for many reasons, including the renovation and rebranding.
“These extensive and tenant-driven renovations complement the property’s already outstanding location and reflect the owner’s commitment to the region,” said Lutz. “Moreover, since Cerus is a Concord-based company, the move makes it possible for them to remain in Concord, gain greater efficiencies for their team and plan for their future growth.”