Real Estate Watch: West County
West County Eyes Pacific City Development
By SIMON DILLON
Of all the market regions in OC, West County is the smallest based on building net rentable area. But, despite its relatively small size, West County historically has attracted more than its fair share of large Pacific Rim companies.
West County tenants with significant office space include Japanese-based companies, such as JVC and Panasonic, units of Matsushita Electric Industrial Co.; Mitsubishi Corp.; Sony Corp.; Fuji; Minolta Co.; and Yamaha.
Many of these companies occupy their own building or buildings. They are attracted by West County’s location midway between the ports of Long Beach and Los Angeles and the Inland Empire’s large distribution centers.
In addition, many companies with administrative office needs are based here because of the area’s cost-effective labor pools.
One example: PacifiCare Health Systems Inc., one of the largest health plan operators in the West, with multiple buildings at its Cypress headquarters.
West County’s real estate owners include Chicago’s Equity Office Properties Trust, Newport Beach-based Makar Properties LLC and Santa Monica-based Warland Investment Ltd.
Sony recently vacated more than 100,000 square feet of space from a five-story office building at Cypress Crossroads, owned by Makar Properties.
This has opened up one of few options for tenants needing 100,000 square feet of space in the area.
Meanwhile, there are few planned office developments in West County.
One development, though, is an office complex at the planned mixed-use project “Pacific City,” which is set to be built on 49 acres along Pacific Coast Highway across from the beach near the Huntington Beach pier.
Pacific City will have office, retail, hotel, residential and entertainment space. It likely will attract tenants who are looking for space that plays on their image or lifestyle: entrepreneurs could live, work, eat and play at the same place.
Dillon is a vice president in CB Richard Ellis’ Newport Beach office.
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