Frederick: All types of buyers are interested in Uptown, but primarily it is owner/users. The submarket is dominated by small buildings between 3,000 square feet and 30,000 square feet, so there are far more opportunities for business owners to purchase and occupy their own properties in Uptown compared to Downtown or other more conventional submarkets.

The area also attracts a lot of developers. Uptown allows some of the highest density in San Diego outside of Downtown, and a number of new multifamily projects are currently in progress or planned. Investors also like Uptown because of the central location and the relatively high lease rates. There is interest from all types of buyers, and due to the relatively small size of the submarket, there is always a high level of demand and a relatively low level of supply.

GlobeSt.com: What types of tenants are attracted to the Uptown market?

Frederick: In general, most tenants are seasoned businesses. They are more “neighborhood-centric,” and they want to be away from what they perceive as the cramped areas of Downtown or Mission Valley. A 5,000-square-foot tenant can basically get lost in a large Downtown office tower, but in Uptown that same tenant can get a stronger presence and easier accessibility. A great example is the former Daily Transcript property, which was sold earlier this year and is now being renovated and rebranded as the Third Avenews Building. It is a 30,000-square-foot, creative-office project, but a 5,000-square-foot tenant can have an entire floor to themselves. For many firms, it can make a lot of sense both creatively and operationally to be located in Uptown.

GlobeSt.com: What else should the readers know about the Uptown submarket.

Frederick: It's rapidly changing. In the next decade Uptown will likely grow in the way that the East Village and Little Italy grew in the last decade. It's positive growth that will benefit the local residents and business owners and the city at large. Uptown is a great place to be today, and it will be an even better place to be tomorrow.

SAN DIEGO—There are far more opportunities for business owners to purchase and occupy their own properties in Uptown compared to Downtown San Diego or other more conventional submarkets, CBRE's Marc Frederick tells GlobeSt.com. Frederick recently joined the firm as a broker specializing in both Uptown and Downtown San Diego. We spoke exclusively with him about the Uptown market, the investment market there and the types of tenants attracted to this submarket.

GlobeSt.com: Explain the anatomy (geography) of the Uptown submarket.

Frederick: Uptown is the area north and “up” the hill from Downtown. The boundaries include west and south of the I-5, Balboa Park, east of Park Blvd. and Washington St. It encompasses roughly 4 square miles and includes the neighborhoods of Bankers Hill, Hillcrest, Mission Hills and University Heights.

GlobeSt.com: What is the investor landscape like in this submarket?

Frederick: All types of buyers are interested in Uptown, but primarily it is owner/users. The submarket is dominated by small buildings between 3,000 square feet and 30,000 square feet, so there are far more opportunities for business owners to purchase and occupy their own properties in Uptown compared to Downtown or other more conventional submarkets.

The area also attracts a lot of developers. Uptown allows some of the highest density in San Diego outside of Downtown, and a number of new multifamily projects are currently in progress or planned. Investors also like Uptown because of the central location and the relatively high lease rates. There is interest from all types of buyers, and due to the relatively small size of the submarket, there is always a high level of demand and a relatively low level of supply.

GlobeSt.com: What types of tenants are attracted to the Uptown market?

Frederick: In general, most tenants are seasoned businesses. They are more “neighborhood-centric,” and they want to be away from what they perceive as the cramped areas of Downtown or Mission Valley. A 5,000-square-foot tenant can basically get lost in a large Downtown office tower, but in Uptown that same tenant can get a stronger presence and easier accessibility. A great example is the former Daily Transcript property, which was sold earlier this year and is now being renovated and rebranded as the Third Avenews Building. It is a 30,000-square-foot, creative-office project, but a 5,000-square-foot tenant can have an entire floor to themselves. For many firms, it can make a lot of sense both creatively and operationally to be located in Uptown.

GlobeSt.com: What else should the readers know about the Uptown submarket.

Frederick: It's rapidly changing. In the next decade Uptown will likely grow in the way that the East Village and Little Italy grew in the last decade. It's positive growth that will benefit the local residents and business owners and the city at large. Uptown is a great place to be today, and it will be an even better place to be tomorrow.