JLL’s Agency Leasing Team leads San Diego in Top CRE Leases; as noted in the San Diego Business Journal’s “Top Leases” edition, chronicling the largest office leases completed in San Diego for 2015. In the list, the JLL Agency Team represented Landlords and brokered 7 of the top 10 deals.
Below are some quick case studies of the highlighted transactions and a quick description of what our team does, day in and day out, different than other CRE listing firms to make our client’s projects successful.
If you would like to see how we can create this success for your project, please email Jay Alexander, managing director, or contact Jay at +1-858-410-1188.
Rio San Diego Plaza is a 190,000 SF Class A office building located in the Mission Valley submarket.
- Challenge: The project had large blocks of vacancy that had been sitting for a long period of time.
- Team: Tony Russell, Richard Gonor and Brandt Riedman
- What did we do? Our team revamped the marketing materials to showcase the unique amenities and features of the project. We marketed the large, efficient floor plates to large users. In addition, we completed a renovation of the vacant suites, exterior landscape, first floor corridor and fitness center.
- Results: Within 12 months of being hired by Prudential, JLL completed a 97,000 SF lease valued at over $21,000,000 at Rio San Diego Plaza with Kaiser Permanente, increasing occupancy of the project 100%. JLL Tenant Rep also represented Kaiser in the lease.
- Owner: Prudential
Innovation Corporate Center is an eight building Class A office/corporate headquarters campus in the heart of Rancho Bernardo purchased by Starwood from Kilroy Realty in early 2014.
- Challenge: Starwood purchased the project with two immediate rollovers and two vacant buildings totaling 92,000 SF that had been vacant for over a year.
- Team: Jay Alexander, Ryan Grove and Tim Olson
- What did we do? Our team used our deep market knowledge of the I-15 corridor and predicted raising rents. We took an aggressive early approach to existing tenants and used creative strategies on renewals. We also reviewed remodel ideas, but recommended holding off on the exterior work.
- Results: JLL signed 92,000 SF of new leases and 84,000 SF of lease renewals at above initial pro-forma with minimal capital outlay. The entire project is 100% leased with no vacancy roll over for three years.
- Owner: Starwood Capital Group
Bernardo Executive Center is a three-building multi-tenant office campus totaling approximately 173,265 RSF in Rancho Bernardo. Situated adjacent to the new CalTrans regional transportation station, the building is in close proximity to hotels, restaurants, banks and other services.
- Challenge: Our client purchased the building, and wanted to raise rents. They were trying to figure out which capital improvements would get the best bang for the buck and wanted a listing team that bought into the vision, and could sell it to new tenants.
- Team: Jay Alexander and Tim Olson
- What did we do? Advised the client on renovations, assisted in finding the right combination of capital investment. We raised rents initially, and continued to do so with each transaction.
- Results: JLL increased the project occupancy by nearly 30 in 2 years (currently over 95%) and rental rates by 30%. These leases increased the value of the project by nearly $10,000,000 in this time period.
- Owner: Brookwood Financial Partners
Mission City Corporate Center is a premier suburban office campus encompassing 290,585 SF in four buildings in the heart of Mission Valley.
- Challenge: A large tenant in the market, Encore Capital, needed 30,000 SF of Class A space in Mission Valley but was unable to find a high-quality location that would work for them.
- Team: Bess Wakeman and Tim Olson
- What did we do? In a complex transaction that involved relocating tenants, we were able to assemble two full floors at Mission City to accommodate Encore’s space and timing needs in Mission Valley’s finest office campus.
- Results: Along with completing other leasing that occurred simultaneously with Encore, the project now stands at 97% leased.
- Owner: Kilroy Realty Corp.
Scripps Plaza, a 244,288 SF office campus that was purchased by Cypress Office Properties and slated for a complete renovation, in a project that had a horrible stigma left over from two absentee owners for more than four years.
- Challenge: How to renovate the project to meet the needs of the market, and overcome the stigma on the project.
- Team: Jay Alexander and Tim Olson
- What did we do? We worked with the owners to develop a creative plan to demolish a poorly designed 50,000 SF building, increasing the curb appeal and parking ratio of the project. We held off announcing plans until the plans were completed, and began demolishing the building at a broker open house to create an impactful impression to destroy the perception of the project.
- Results: JLL achieved rental rates 10-20% higher than pro-forma and completed 70,000 SF of new and renewal transactions since the beginning of renovation.
- Owner: Cypress Office Properties
One Technology Place, a 1980s vintage, mezzanine R&D/industrial project that needed a new marketing positioning to take advantage of creative office trends.
- Challenge: The project had a dated exterior look, inefficient interior layouts and unusable mezzanine space. It was approximately 45% vacant at the time of sale.
- Team: Jay Alexander and Ryan Grove
- What did we do? During the renovation process, we implemented a strategic marketing campaign to target tech companies, utilizing our market knowledge of the I-15/Rancho Bernardo submarket. Each broker blast during the marketing campaign highlighted one of the flaws that were being repaired. Utilized marketing designs to show Tenants how the spaces will look.
- Results: JLL increased occupancy from 50% to 90% within 120 days after purchase through 4 transactions, and increased rents by 20%.
- Owner: Menlo Equities
Whether you’re looking to enhance building value, stabilize occupancy, increase NOI, reposition your asset for sale or source your next acquisition, we have the connections and capabilities to deliver a successful approach and execution. Our lease transaction history demonstrates not only our related experience, but also the skills and expertise we employ in every deal we perform.
For more information on any of these projects, please email Jay Alexander, managing director, or contact Jay at +1-858-410-1188.
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