Hobby Products International, an Irvine maker of remote-controlled miniature race cars, is moving from the Irvine Spectrum to bigger digs in Foothill Ranch early next year.
“The remote racing car market is growing,” company Vice President Shawn Ireland said. “They’re getting less and less expensive, and better and better quality and more user-friendly.”
The company is moving from its 27,000-square-foot facility on Barranca Parkway to a 45,100-square-foot space at the Foothill Business Center. Hobby Products signed a five-year lease valued at $1.8 million. The company counts 65 employees with plans to add another five in the next year.
Hobby’s products include kit and assembled cars that resembled their full-size, tricked-out counterparts. Among the models are race car versions of the New Beetle, BMWs, Corvettes and even a Lotus. They sell for $200 to $2,000, with the priciest models being two feet long and traveling up to 70 mph, Ireland said.
Most of Hobby’s customers are enthusiasts who build cars from kits and choose custom tires, racing decals and others parts. Many compete in the HPI Challenge, a series of company-sponsored races held in the U.S., Britain, Argentina and elsewhere.
Hobby has plenty of company in Orange County and across the Southland. Rivals include Costa Mesa-based Associated Electrics, Aliso Viejo-based Tamiya America Inc., part of Japan’s Tamiya Inc., and Chino-based Team Losi Inc. There’s also Dallas-based Traxxas Corp.
Ireland said the Southland is ripe for the remote control racing car business.
“The weather is pretty good so we’re allowed to run our products throughout the year,” he said. “Plus, a lot of the companies’ founders,some of whom were once top racing drivers in the early 1980s,are from SoCal.”
Ireland also said a lot of the materials needed, like aluminum and carbon fiber, are readily available here because of defense sector work in the county.
Ireland said he believes Hobby can withstand the economic downturn in the wake of the Sept. 11 terrorist attacks.
“People are more inclined now to stay close to home and entertain themselves,” he said. “Most of our racing products are under $300,we expect people are less likely to pay $5,000 to take a trip to Hawaii. Instead, they’ll buy a remote control car and stay home with their kids.”
Christine Bowen and John Matus, both of Lee & Associates’ Irvine Spectrum office, represented Hobby Products International. Gregg Haly of CB Richard Ellis’ Newport Beach office, handled talks for building owner, Opus Real Estate America III. n
