Birtcher Development & Investment Co. has acquired the former Costa Mesa regional headquarters of State Farm Insurance Cos. for $29 million, the developer said Tuesday.
Irvine-based Birtcher Development plans 300,000 square feet of home furnishings showroom space off the San Diego (I-405) Freeway near Ikea.
Its proposed eight-building, $90-million South Coast Home Furnishings Centre should include room for 30 showrooms, shops and eateries.
The developer has formed a joint venture with Newport Beach-based Buchanan Street Partners to develop the 20.5-acre property at 3333 Hyland Road. Buchanan got financing from KeyBank, a unit of Cleveland-based KeyCorp.
Demolition of Bloomington, Ill.-based State Farm’s former offices and automobile claim center should begin in October. The showroom center is set to open in early 2007.
State Farm said in 2002 it planned to close the Costa Mesa facility as part of a consolidation. Policyholders have driven their cars to Costa Mesa to have them assessed for repairs. The insurer also has done underwriting, training and other functions in Costa Mesa.
Birtcher and Buchanan also are teaming on the $42 million Birtcher Commerce Center, a distribution facility under development in Paramount.
