Legacy Converts OC Office Properties To Multifamily

The new Legacy development will be a 294-unit project, according to Doug Killian of Voit Commercial Brokerage, who along with Jeff Williams of Voit's Irvine office, represented the seller.Mid- and high-rise multifamily developments have started to dominate the infill land opportunities in the John Wayne Airport area submarket, Killian notes. He says the land in this marketplace has traditionally been zoned for commercial use, but residential developers are entering the market to acquire the land and have it rezoned for housing. The factors driving this push include increased demand for corporate housing and lack of developable land, which is driving up land prices, he notes.The 5.2-acre project will be called Legacy at Main & Jamboree and will feature a four-story building with approximately 13,000 sf of retail space on the bottom floor and a multi-story parking garage. The units will be available for leasing in 2005, according to Legacy's website. The developer was represented by Randy Tetac of O'Donnell/Atkins in its purchase of the project site.The new Legacy units are being developed in an Orange County apartment market that is growing in strength, according to a recent research report by Marcus & Millichap. The report notes that job growth and rising mortgage rates have boosted tenant demand. "Apartment owners will benefit from the increased tenant demand and will be able to raise rents at a more aggressive level without sacrificing occupancy," the report says.