Office Sale Completes 10-31 Exchange

LAKE FOREST, CA-A private investor has acquired a 20,737-sf building in Pacific Corporate Park from another private investor for $3.25 million, according to Sperry Van Ness.

The sale completes a 10-31 exchange for the buyer, according to Mike Austin of Sperry Van Ness, who represented the buyer. The property, at 25341 Commercentre Drive, is the second in Pacific Corporate Park to be sold in the past month, Austin notes. In the deal that closed last month, also brokered by Austin, the buyer acquired a building at 25381 Commercenter Drive and also was in a 1031 exchange.

Austin, who has another deal pending in the park, says the sales illustrate the investor demand for well-located, 100% net leased office properties. The 25341 Commercentre Drive building is 100% leased to Accu-Med, Valor and US Foods.

The Pacific Corporate Park development consists of six, two-story office buildings comprising 167,585 sf. The business park was built in 1999 and is at the corner of highly traveled Bake Parkway and Commercentre Drive, near the Route 241 Foothill Transportation Corridor.

Brokers say that investment sales of office buildings and other properties remain brisk, despite flat leasing in Southern California. The latest quarterly reports on the Orange County office market show that net absorption reached nearly 300,000 sf for the quarter, bringing the year-to-date total for the county to nearly 450,000 sf. The reports also show improvement in South Orange County, where the vacancy dropped nearly two points to 17.5% in the third quarter.