Soon available for rent in central Orange County: 1.4 million square feet.
These are the 43 buildings that the OC county government wants private business to lease at the former El Toro Marine Air Corps Station.
Almost everything you’d imagine at a Marine air base is up for rent, except for the four runways.
There are three former squadron headquarters of 4,000 square feet each and a smaller group headquarters. There are a small conference center, a big base theater and a vehicle maintenance facility. A couple of hangars are available. So are four warehouses of around 125,000 square feet each. The military is closing the commissary, much to the consternation of retirees, and its 42,000 square feet are available. The flat golf course without water obstacles is available. There’s even a former McDonald’s, which has 3,800 square feet.
The Officers Club can be rented, and if you want it for a banquet, that will cost about $5,000. The swimming pool is expected to be rented to Irvine Novaquatics for $9,000 a month.
About half of the 1.4 million square feet is office space, while the other half consists of warehouses.
It’s decidedly not Class A space. Only six of the buildings have access to fiber optic lines. Some offices lack air conditioning. It’s uncertain whether the buildings meet earthquake code standards and some of the buildings might still contain lead and asbestos.
Short-Timers
One more stipulation: leases can be no longer than five years.
Rob Richardson, the county’s point man for El Toro, said his office is fielding many inquiries from businesses.
“There have been any number of requests from light assembly to film companies to social services agencies,” he said.
If all goes according to plan, the county can start leasing a few of the buildings beginning in October, although most of the buildings are expected to be leased later. The county still needs to work out whether it or the renters will assume liability. The Navy also has to approve the sub-leases with the renters.
“It will take a little time before the (business) folks can get out there and kick the tires,” Richardson said. “Right now, the property belongs to the Navy and is restricted. If you drive out there today, you won’t be able to go inside the buildings.”
CB Richard Ellis’ Newport Beach office helped the county officials formulate the pricing of the buildings, which range from 49 cents a square foot for warehouses (modified gross, excludes taxes and insurance) to about $1.25 for office space (full-service gross).
“The rates are reasonable, but the space has to be finished and ready to go,” said Brian Corrigan, brokerage vice president at Voit Commercial Brokerage. “If it’s positioned correctly and marketed properly, it will be well received by the marketplace.”
Small Companies A Target
Larger companies seeking long-term leases are not expected to be interested, but smaller companies looking to grow quickly and not be tied into a longer-term lease could be possible tenants.
According to Voit, the John Wayne airport area has vacancy rates for both office and industrial space of about 6%. Vacancy rates in neighboring South County for office space are similar but are slightly higher for industrial space.
“In the airport area and South County, the vacancy rates are very low,” said Corrigan.
Both sides in the argument over whether El Toro should become an airport agree that the buildings should be leased as a way to generate revenue.
“We’re in favor of it, as long as they don’t use it for anything to do with aviation,” said Meg Waters, spokeswoman for a coalition of nine South County cities opposed to the airport, the El Toro Reuse Planning Authority.
Originally, a commercial airport was scheduled to open at the former base in 2005 and there would be cargo operations there in the meantime. The base has two runways of 10,000 feet and two runways of 8,000 feet each. But because of the opposition of South County cities, the interim cargo plan was shelved.
To have interim aviation uses, the county would have to complete its environmental impact report and reach an agreement with the Navy. The county also would have to get past Measure F, which prohibits an airport unless it’s approved by two-thirds of the
