Thank you for sharing!

Your article was successfully shared with the contacts you provided.

SAN DIEGO-Medical device maker NuVasive Inc. has signed a $113 million, 15-year lease to relocate the company’s headquarters to 143,614 sf of class A office and R&D space at Veralliance Properties Inc.’s Sorrento Summit life sciences campus. The new lease will approximately double the amount of headquarters space occupied by NuVasive, which designs, develops and markets products for the surgical treatment of spine disorders.

According to Daniel J. Ryan, principal with San Diego-based Veralliance, NuVasive will occupy the 143,614 sf in two existing buildings at 7473 Lusk Blvd. (71,112 sf) and at 7475 Lusk Blvd. (72,502 sf). NuVasive also has options to lease additional space in a third building that will begin construction in January 2009 and add approximately 125,000 sf to the Sorrento Summit campus.

NuVasive will pay base rent of $2.43 per sf, escalating at an annual rate of 3% over the 15-year period of the lease, according to public filings by the company, which is listed on Nasdaq. Relocation to the new facility is expected to be completed in phases in the first and second quarters of this year.

NuVasive says that the agreement with Veraillance provides for facility expansion rights to an aggregate of more than 300,000 leased sf, under terms of which the medical technology company is required to make minimum lease payments, including operating expenses, of $2.4 million in 2008, $6.1 million in 2009, $6.4 million in 2010, $6.6 million in 2011, $6.8 million in 2012 and $84.9 million thereafter for a total of $113.2 million over the 15-year period.

NuVasive is relocating and expanding its headquarters from its current location on Towne Centre Drive. Occupancy will take place in phases as tenant improvements complete, with move-ins beginning in April. After its relocation, NuVasive expects to sublease its current facility through August 2012, when its lease on the existing space expires.

In the lease with Veraillance, NuVasive was represented by Jeff Manley of Cresa Partners West Inc. The building owner was represented by Chad Urie of Colliers International and Brian Driscoll of Grubb & Ellis

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.