A new industrial investment opportunity has recently been made available in Irvine. According to a listing from CBRE, a cluster of industrial buildings totaling 146,262 square feet in the Irvine Business Complex have been listed for sale for a combined price of $40.3 million, or about $275 per square foot.
The 7.43-acre site comprises several addresses, including 17522, 17572 and 17622 Armstrong Ave., all of which are occupied by the current owner, fashion company St. Johns, according to public records. Individually, the buildings are listed for $23.4 million, $7.7 million and $9.2 million, respectively.
Marketing information from CBRE indicates that the property could ideally serve an owner-user while also offering potential redevelopment opportunities. Under the current zoning, the site could accommodate a 181,910 square foot development.
The property’s location in Irvine’s business and technology cluster also places it near various retail and dining amenities as well as proximity to Interstate 405 and State Route 55. It is also just a short commute from John Wayne Airport.
Overall, Orange County has a strong industrial market with a vacancy of just one percent as of the third quarter of 2023, according to CBRE. At the same time, average lease rates were bumped up slightly to $1.75 per square foot, a $0.01 change since the previous quarter. While demand remains high in Orange County, development decreased over the third quarter from 2.2 million square feet during the second quarter to 1.7 million square feet during the third quarter.
“Investors and tenants entering the Orange County industrial market face an incredible challenge, with limited options and zero new deliveries despite growing demand,” the listing states.
