IBC FLEX BUILDING SELLS FOR $375/SF
Topside Real Estate
Another example of the strong Owner/User market
In March 2021, 17771 Mitchell North, a single-story, flex building in the Irvine Business Complex was sold to a private investor for almost $4-million. The seller was represented by Rob Rader of Topside Real Estate, while the buyer was represented by Kevin Turner of Cushman & Wakefield.
“With 100% air conditioning throughout and great freeway access, the Mitchell building provided an excellent opportunity for an owner/user to buy it right and transform the building into a solid corporate headquarters facility,” said Rob Rader, President of Topside Real Estate. “We had a lot of interested parties for both sale and for lease.”
The Property is approximately 30,000 square feet with a 10,600 square foot building. There was ample land area for extra parking and/or storage.
The Property is approximately 10,600 square feet with a layout that allowed for a significant part of the yard area to be fenced, which provided additional security and storage area.
The Seller is a private individual that intends to re-invest the proceeds outside of California.
“This is not our first client selling here and then looking to invest in commercial real estate outside of California,” says Rader, who has been in commercial real estate for more than two decades.
“Whether it be in the pursuit of more favorable yields or being tired of the unfriendly taxes and regulations being imposed on California’s real estate owners, we are seeing more money move out of state than in any of my prior years in the business.”
As part of an ongoing trend, 63 buildings (or more than 70%) of the 88 flex buildings that have sold over the past 12 months have been sold to owner/users.
“While it is not unusual that we see more owner/user sales in the flex market, it points out the steadily rising rental rates for this product type and the continuing need for small businesses to have a place to operate,” says Rader. “Right now it makes sense to take advantage of the current low interest rates, abundance of SBA financing and the benefits of owning real estate to buy versus rent.”
Topside Real Estate is a commercial real estate brokerage firm started in 2020 by two industry veterans, Eric Paulsen & Rob Rader. The company services Southern California investors with the acquisition and disposition of commercial real estate. Eric & Rob’s extensive experience in development and value-add projects aligns well with property owners that are seeking new opportunities or need assistance with maximizing the value of their current real estate portfolio. www.topsidere.com