85.7 F
San Fernando
Thursday, Jun 1, 2023

Developers to Build Huge Industrial Center in Moorpark

A partnership including developer Mark Ossola and Nearon Enterprises, a development company in Danville, Calif., has acquired a 33-acre parcel in Moorpark and will break ground early next year on an $80-million development that will add more than 300,000 square feet of industrial space to the region. The development group plans to build a 495,000-square-foot business park, Moorpark Freeway Corporate Center, at 1000 Patriot Drive. It will contain a number of buildings for sale or lease by small users ranging from 10,000 square feet up to about 30,000 square feet. The property is already entitled for the business center, which will also include retail space. Once it receives its permits, Calabasas-based Ossola, who is managing partner, said the group plans to begin immediately to construct 150,000 square feet of speculative industrial development. “The industrial market has the lowest vacancy factor of any of the product types in Ventura County right now,” said Ossola. “Further, there isn’t land left for industrial development where you can go in and create a business park environment.” The partnership acquired the parcel for $26 million. It has not been listed for sale. Ossola and Nearon had previously acquired a neighboring parcel from the same sellers and have begun construction on The Village at Moorpark, a 132,000-square-foot shopping center that will house Chick’s, Petco, Staples and other stores. The business park is to be bordered by a second center, Moorpark Marketplace, a 300,000-square-foot shopping center with Target and Kohl’s along with other retailers. “It’s one thing to be buried in the back of an industrial park in Chatsworth, versus being right on the freeway with freeway visibility with retail stores and restaurants within walking distance for your employees,” said Ossola. “No one has to drive to go to lunch.” The existing entitlements also made the property especially attractive as did the lack of space available for new construction. “This is probably the largest contiguous undeveloped site that remains in all of North L. A. with the exception of Newhall Land,” said Mike Tingus, president of Lee & Associates L.A.North/Ventura, who represented the buyer and seller in the deal. “Cities like Simi Valley and Moorpark and Ventura that are doing a pretty good job of bringing more housing online only enhance the opportunity for development of these sites.” Arden Buys in Agoura Arden Realty Inc. acquired the Agoura Hills Business Park for $23.2 million. The 115,227-square-foot center includes two office buildings and is about 90 percent leased to Symark International, Prudential Financial Services, National Life of Vermont and other companies. It had been owned by Lowe Enterprises for about five years and was renovated in 2004. At about $200 a square foot, the selling price was not as high as some of the properties that have recently come on the market, conceded Howard Stern, Arden’s senior vice president and chief investment officer. “In today’s market, it’s hard to do that,” he said of the price paid, which represented a 7 percent cap rate. “We have a relationship with the seller. When all is said and done, everyone can close fast, everyone has the capital, everyone can do a short due diligence. So when it’s all equal, how do you differentiate yourself? You go back to basics relationships and who would you like to do business with.” The acquisition is the third in the greater Valley area for Arden in about a year and fits well with its strategy of catering to smaller tenants in the 3,000 to 5,000 square foot range with so-called value-added buildings. “Our rents in our pro forma are $2.05,” Stern said. “We’re not going to be a Class A building but if someone (in Class A space) is going to be at $2.85 or $2.90 we’re certainly not going to be 80 cents less. I think what’s going to happen is we’re going to have an opportunity to start bumping our rents.” The landlord was represented in the deal by Mark Perry of CB Richard Ellis. Arden was self-represented. Conejo Sale Panattoni Development Co. has sold a 35,993-square-foot industrial building at Conejo Spectrum Business Park for $3.3 million. The buyer is The Zaken Corp., a reseller of excess and closeout merchandise. The company is relocating from a 30,000-square-foot building in Chatsworth. “This building sale represents one of the last new buildings to be sold in an area with virtually no available land,” said John DeGrinis, senior vice president at Colliers Seeley International, who, along with Roger Beck, represented the seller in the deal. Panattoni developed the building, at 2610 Conejo Spectrum Street, as part of a two-building project. Zaken was represented by Larry Heller of Paramount Properties. Duly Noted Schaffel Development has closed escrow on the 2-acre property in Valley Village which will be redeveloped into a condominium complex. Schaffel plans to begin construction on the planned 96 condominium units in fall, 2006. The company said the project should be completed by early 2008. The complex, at Riverside Drive and Laurel Canyon Boulevard, is currently the site of Stevens Nursery. That company is expected to continue to operate during the next year while the development moves through the required documentation process. Senior reporter Shelly Garcia can be reached at (818) 316-3123 or by e-mail at sgarcia@sfvbj.com.

Featured Articles

Related Articles