SAN DIEGO—Shopoff Realty Investments says it has acquired a 71,450-square-foot office building in San Diego's Mission Valley, located at 2650 Camino Del Rio North.
"This office property is well-located within the thriving Mission Valley office market, which boasts a 92% office occupancy rate," said William Shopoff, CEO of the Irvine-based firm. "An excellent value-add opportunity, we acquired this asset for $156 per foot, which is well below market comparables which average nearly $200 per foot. Our strategy is to reposition the building through renovations and increasing occupancy."
The three-story, class B-plus office building is located just off the interchange of Interstates 805 and 8. Currently 75% leased, major tenants include Kaiser Foundation Health Plans and U.S. Colleges.
Adjacent to DeVry University and the US Post Office, the building is approximately 1.4 miles from Fenton Marketplace, home to a variety of national retail stores, including Starbucks, IKEA, Costco and USAA Financial Center.
"This office building has been undervalued in the marketplace and provides a rare opportunity to transform a property in the popular Mission Valley office market," said David Placek, head of Shopoff Realty Investment's Income Property Division. "We have already received a great deal of interest from potential tenants."
Shopoff Realty Investments has a 22-year history of over 100 programs and 430 investments, of which more than 400 have gone full cycle with an average holding period of 2.7 years.