Brea’s the site of one of the largest office leases seen in the nation so far this year, according to brokers with the local office of Jones Lang Lasalle.
Bank of America Corp. said earlier this month it renewed its lease at 275 Valencia Ave. in Brea. The building, a 637,503-square-foot office just off Imperial Highway, has been used as a call center and for other lines of business.
About 3,200 employees work at the center, according to BofA officials.
The renewal is for another seven years, with the current lease set to expire next year. Financial terms weren’t disclosed.
The building’s owned by a unit of New York’s Lexington Realty Trust. Regulatory filings show BofA paying about $8.2 million in rent for the building last year, which works out to monthly rents of about $1.07 per square foot.
Jones Lang LaSalle’s Jeff Ingham and Wade Clark represented Bank of America in the lease. Rick Kaplan and Eric Olofson of Cushman and Wakefield Inc. represented the landlord.
Fulfillment Corp. Expands
Beaverton, Ore.-based Fulfillment Corporation of America is relocating its local operations from Fullerton to Brea.
The company, which provides inventory management and order fulfillment to financial, healthcare, cosmetics, apparel and other companies, is expanding with a 72,275-square-foot lease at 566 Vanguard Way, an industrial site a few blocks off Imperial Highway.
It’s one of the larger industrial leases seen in North Orange County so far this year.
Fulfillment is moving from two buildings in Fullerton that totaled about 50,000 square feet.
The company signed a 10-year lease at the Brea building, which is owned by San Francisco-based AMB Property Corp. It’s taking up a little less than three-quarters of the 101,280-square-foot building.
The lease is valued at about $3 million, according to brokers with the Anaheim office of CB Richard Ellis Group Inc. who worked on the deal. That works out to monthly rents of about 35 cents per square foot.
Fulfillment was looking at sites in Orange County and the Inland Empire, according to Steve Young of CB Richard Ellis.
The Brea building is set to see upgrades, he said.
CB Richard Ellis represented the landlord and the tenant in the lease. Ben Seybold and Rick McGeagh represented AMB, while Young and Joey Sugar represented the tenant.
Office Renamed
The Newport Beach office that counts the headquarters of real estate owner and developer Koll Co. and others is getting renamed.
The 54,000-square-foot office, at 4343 Von Karman Ave., will be rebranded as Newport Beach Financial Plaza, according to brokers with the Irvine office of Jones Lang LaSalle, which recently got the listing for the property.
The three-story building’s owned by Newport Beach investment firm Picoco LLC, which acquired it in 2008 and has its headquarters there.
Picoco’s headed up by Fariborz Maseeh, a technology entrepreneur who’s one of OC’s wealthiest residents.
Last November, he bought Corona del Mar’s Portabello Estate, one of the area’s most expensive homes. That deal was reported to be more than $34 million.
Housing HQ Sale
The Irvine office that holds the local operations of homebuilder Taylor Morrison Inc. is up for sale.
Taylor Morrison, which last year ranked as OC’s 14th-largest builder based on home sales, leases space at 15 Cushing, an upscale, 26,799-square-foot office in the Irvine Spectrum.
The building’s owned by WWM Cushing Properties LLC, a private investor that’s based in Laguna Beach.
WWM Cushing recently listed the building for about $6.4 million, or roughly $240 per square foot.
That’s well below peak pricing. A few years go, the building was in escrow for nearly $10.5 million, but a sale was never completed, according to Steve Economos, director of the office brokerage division for Irvine’s 360 Commercial Partners, which has the latest listing for the property.
The property’s being marketed under the assumption that Taylor Morrison, which has a lease for the entire building, will leave when its lease expires in June. The builder already subleases space on the second floor of the two-story building.
The homebuilder, part of Britain’s Taylor Wimpey PLC, hasn’t said where it plans to move its local operations.
Taylor Wimpey reportedly is in talks to sell Scottsdale-based Taylor Morrison for $800 million to $970 million.
The Irvine building’s expected to be sold to a company that would set up headquarters there. It’s also being marketed by 360 Commercial for lease at monthly rates of $2.25 per square foot, according to Economos.
