Jeff Hanson, a vice president with the Investment Services Group of Grubb & Ellis, tells GlobeSt.com that the property is an institutional quality, four-story steel frame building with reflective glass and brick exterior that was 94% occupied at the time of the sale.
Hanson, who along with Dave Smith and Adam Wicker of Grubb & Ellis, represented the buyer and the seller.
Hanson tells GlobeSt.com that the building was constructed in 1981 and is in excellent condition, having been institutionally owned and maintained. Tenants include California Bank and Trust, and the building shares a four-story parking garage with Saddleback Hospital.
The market for office properties in Orange County "is supply-constrained this year" in comparison with last year, Hanson says, explaining that owners "are refinancing and enjoying cash flow rather than selling," even though prospective buyers are willing to pay premium prices.
"Owners know that pricing is very competitive, but they are concerned that they might not be able to find an exchange (10-31) property if they sell," Hanson says.
Demand among prospective buyers is strong, he adds, because low interest rates make deals work at relatively low cap rates, and financing is readily available.
Despite the slower pace of deals this year, Hanson says, the total square footage of Orange County office buildings that is sold by the end of this year could approach 2001 figures because a number of large properties have traded.
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more information visit Asset & Logo Licensing.
