Harbor Associates JV Pays $92M for Orange County Campus
- Mar 19, 2021
Harbor Associates and Singerman Real Estate have acquired the Summit IV office campus in Aliso Viejo, Calif., in an off-market transaction.
The two-building, 297,277-square-foot asset changed hands for $92 million, according to Commercial Real Estate Direct. CommercialEdge information shows the previous owner was Invesco Real Estate, which had purchased the Class A property in 2015 for $108.1 million.
Situated on nearly 9 acres at 15 and 25 Enterprise, the asset is part of Summit Office Campus, a master-planned development comprising 1.7 million square feet of office space across eight buildings. Five of the buildings, located at 65, 75, 85, 95 and 101 Enterprise, traded in 2018 for $157 million.
Summit IV encompasses two five-story buildings completed in 2001 and most recently renovated in 2018. According to Harbor Associates, the LEED Gold- and Silver-certified assets were 80 percent leased at the time of purchase. Notable tenants include Carrington Mortgage Services, Metagenics and Anchor Capital.
The new owner plans to immediately start renovating the campus, with the intent of incorporating more health and wellness elements, as well as other on-site lifestyle amenities. Interior improvements will focus on the creation of a new lobby and move-in ready suites, among others.
The office campus is less than 2 miles north of downtown Aliso Viejo, just south of California State Route 73. Various shopping and dining options are less than 1 mile away, alongside Aliso Creek Road. The location is less than 1 mile west of 4 and 5 Polaris Way, another former Invesco property, recently refinanced in a $149 million portfolio deal.
A big deal
The transaction is one of the biggest office deals closed in Orange County this year. According to CommercialEdge information, another 16 office properties have changed hands since January, the largest one being a 27,567-square-foot asset in Irvine, which traded for $8 million.
Singerman Real Estate Principal Kiley Carter said in a prepared statement that the purchase marks the firm’s 12th investment in Southern California, across different asset classes. One of the investments is a 160,980-square-foot life science/R&D office campus in Thousand Oaks, Calif., that Singerman acquired in a partnership with HATCHspaces.