Seven C’s Takes Rancho Bernardo Asset
- Apr 25, 2015
Frontera Business Park, an industrial/R&D property in Rancho Bernardo, is under new ownership. Seven C’s Group L.L.C. acquired the two-building, 80,882 square-foot asset in a $10.5 million deal. Mark McEwen, Ted Cuthbert, and Matt Zimsky of Colliers International’s San Diego office arranged the sale.
Located on a 6.2-acre site at 10965-10993 Via Frontera Drive, the asset was completed in 1982. Major employers in the area include Microsoft, General Atomics, BAE Systems, Sony and HP. The new owner will look to improve occupancy at Frontera Business Park, which was just 41 percent occupied at the time of the transaction.
Prospects for backfilling the property seem good, as San Diego’s industrial market recorded a strong first quarter. Data from Colliers International shows that industrial/R&D net absorption totaled nearly 1.4 million square feet, the best performance in 16 years.
Rancho Bernardo, along with Rose Canyon/Morena, were the only two San Diego County industrial submarkets to record negative net absorption during the first quarter. But since negative absorption totaled only 20,000 square feet between the two submarkets, continuing improvement in the San Diego industrial market may soon move them to the plus side of the ledger.