San Clemente-based Metagenics Inc., a maker of vitamins and supplements for doctors, chiropractors, nutritionists and others, is moving a bulk of its local operations to Aliso Viejo, according to brokerage reports.
The company, which makes vitamins and supplements that are geared toward addressing health concerns, recently inked a lease deal for 47,000 square feet of office space at 25 Enterprise, a building that’s part of Aliso Viejo’s Summit office campus.
The deal was Orange County’s fourth-largest office lease in the second quarter, according to a midyear market report from Newport Beach-based Voit Real Estate Services Inc.
The 25 Enterprise building is one of two adjoining offices at the Summit that was bought late last year by Palo Alto-based Menlo Equities LLC for $57.5 million.
Tenants in the 147,000-square-foot building—which runs alongside the San Joaquin Hills (73) Toll Road—also include Miami-based homebuilder Lennar Corp., which has its local operations based at 25 Enterprise.
Terms of the lease weren’t disclosed. It’s not known whether any of Metagenic’s operations, or its headquarters, will remain in San Clemente following the move.
Metagenics had been operating out of an 88,000-square-foot building at the corner of Avinida La Pata and Avenida Pico since the building’s construction in 2000. Its lease was slated to expire this year, according to regulatory filings.
The San Clemente building has 47,000 square feet of office space, with the remainder of the building used for warehousing.
The property, owned by an affiliate of New York-based W.P. Carey & Co., was put up for sale earlier this year, according to CoStar Group Inc. data. A sale price has not been disclosed.
W.P. Carey valued the building at about $11.5 million at the time of its construction.
Metagenics is one of several local companies with ties to the $40 billion “nutraceuticals” market, which involves the production of vitamins, minerals, herbal products and other extracts for use as dietary supplements.
In 2009 a majority of Metagenics was sold to Alticor Inc., the Ada, Mich.-based parent company of Amway, a maker of supplements, foods and cosmetics.
Metagenics, which had annual sales of $200 million before the acquisition, has continued to operate on its own as part of Alticor since the deal.
In 2010 the company bought Catalina Lifesciences Inc. of Irvine for an undisclosed price.
Catalina makes Bariatric Advantage, a line of supplements used by people who have had weight loss surgery.
Retail Buy
An affiliate of Irvine-based real estate investor Thompson National Properties LLC has paid $19 million for a shopping center in the San Joaquin Valley city of Visalia.
The company’s TNP Strategic Retail Trust Inc., a non-traded real estate investment trust, bought the Visalia Marketplace, a nearly 201,000-square-foot center located on about 25 acres of land.
The center is 92% leased and counts Kmart and Save Mart Supermarket grocery stores as anchors. Chapman University’s offshoot, Brandman University, also has a location at the center.
TNP said the deal was financed with a $14.3 million loan from KeyBank as well as proceeds from its ongoing initial public offering, which has raised about $103 million over the past three years.
On the personnel front, Thomson National Properties recently promoted James Wolford to president and chief operating officer. He joined the company last year as chief financial officer, and previously worked for Irvine-based Bixby Land Co.
Local Loan
Los Angeles-based Kilroy Realty Corp. said it has obtained a $97 million loan tied in part to its most prominent local property, the 2211 Michelson office building in Irvine.
The office and industrial landlord said the non-recourse secured loan, made by Massachusetts Mutual Life Insurance Co., is for 15 years and carries an interest rate of 4.48%.
Along with the 12-story 2211 Michelson, which Kilroy bought in 2010 for $103 million, the loan also is tied to a smaller Santa Monica office that Kilroy owns.
Kilroy said it intends to use proceeds from the loan to pay down borrowings on its credit facility.
The Business Journal reported last month that Kilroy put its 40-property Orange County industrial portfolio on the block, in what could prove to be the largest industrial sale the area has seen in years.
The company’s OC industrial portfolio runs close to 3.5 million square feet and is about 93% leased.
