Irvine Buys San Diego Office for $105M

By Alex Ciorogar

Gateway at Torrey Hills

Orange County-based Irvine Co. has bought an office complex in San Diego for $105 million. The Gateway at Torrey Hills is a Class A asset consisting of two four-story, multi-tenant office buildings totaling 197,862 square feet.

Located at 3570 and 3580 Carmel Mountain Road, at the intersection of Interstate 5 and Carmel Mountain Road, the property is home to several companies from various industries. Some tenants include Wells Fargo, Software AG and the law firm Mintz Levin. Built in 2008, the adjacent three-level parking structure features four parking spaces for every 1,000 square feet, with 95 percent of the spaces being covered.  The project also features on-site amenities like a gym and locker facility, food services and outdoor gathering areas.

Desirable Submarket

Executive Managing Director Rick Reeder and Managing Director Brad Tecca of Cushman & Wakefield’s Capital Markets group handled negotiations on behalf of the seller. According to Yardi Matrix data, the seller was PGIM Real Estate. Additionally, leasing specialists Brian Starck and Joe Anderson performed market advisory services.

“Gateway at Torrey Hills is strategically located in Del Mar Heights, one of San Diego County’s most desirable submarkets. The complex was approximately 80 percent leased to a dynamic tenant roster that offered the balance of secure income and potential upside with a clear path to stabilization,” said Reeder in a prepared statement.

Irvine Co. recently celebrated the grand opening of its newest office building in Irvine, Calif. The high-rise is located at 400 Spectrum Center Drive, one of California’s most successful live-work-play communities.

Image courtesy of Cushman & Wakefield