Sares Regis Group has added to its Surf City holdings in a new deal with defense and aerospace giant Boeing Co.
The Newport Beach-based developer, which has inked several deals with Boeing in Huntington Beach and near the Long Beach Airport over the past decade, added another 21.5 acres to its holdings along Bolsa Avenue, according to property records.
Records indicate it paid $41 million, or $1.9 million per acre, for the site this summer.
Plans for the land have not been disclosed. The property appears likely to join earlier plans from Sares Regis that could add close to 1.5 million square feet of new industrial product to the city, in multiple projects.
Prior Deals
Including the new deal, Sares Regis has acquired almost 110 acres from Boeing in the past two years.
It is currently developing a three-building, 600,000-square-foot project on Bolsa Avenue on a 30-acre site it acquired in 2018, and in 2019, it bought an additional 56 acres elsewhere on the street.
That 30-acre site previously held a well-known, eight-story, 285,000-square-foot office. It was knocked down to make way for the new development.
Boeing (NYSE: BA) has been shedding jobs and buildings at its sprawling Surf City campus over the past decade, and has sold several Southern California assets over that time to OC developers.
The wave kicked off in 2011 when Boeing looked to offload nearly 220 acres at the master-planned Douglas Park near Long Beach Airport.
Sares Regis has taken the lead for much of the development, buying most of the land from Boeing in a series of deals in 2011 and 2012.
New Opportunity
Boeing is now looking to sell another 78-acre parcel of land at Douglas Park, according to news reports.
Boeing must first approach the city of Long Beach for right of first refusal of the eight-parcel site, and then secure approvals in order to pursue other buyers.
A deal could garner north of $150 million, based on similar deals in recent years.
The most recent deal between Boeing and an OC investor was last June, when the company struck a sale with Goodman North America, the Irvine-based affiliate of Australia’s Goodman Group (see story, this page).
Goodman paid more than $200 million for a 93-acre former C-17 manufacturing facility, which Goodman is now redeveloping into a mixed-use development called Goodman Commerce Center Long Beach.
