There are a few other factors that have been giving Otay Mesa a boost. Otay Mesa sits on the border with Mexico and houses the Otay Port of Entry, a border crossing that sees more than $32 billion of goods pass through annually. Construction is due to start in 2016 on the Otay 2 Port of Entry which will allow for a large increase in capacity of the flow of commercial goods.

Also, a private consortium recently completed construction on the Cross Border Terminal (CBX) in Otay Mesa, in which ticketed airline travelers flying out of Tijuana can park in the US and walk over a bridge directly into the Tijuana airport. And the 905 and 125 freeways were recently constructed, creating fast direct access into the Otay Mesa area. Construction is underway on State Route 11 that will connect the 905 Freeway with the new border crossing.

Lastly, last year the City of San Diego adopted a new community plan update that provides a roadmap for future development in the market. This is a catalyst for the maturation of the submarket. What was once a blanket industrial zone now has a well-thought-out plan for long-term growth that includes residential, commercial and light and heavy industrial.

GlobeSt.com: We've seen more office and industrial activity in this market lately, both in development and sales. Which other property sectors do you believe will see similar activity here?

Irwin:We have seen a lot of activity in leasing and sales in Otay Mesa. There has been no new development in the market in this cycle.

Otay will see continued demand from companies servicing or operating in the Tijuana manufacturing market. It will also see demand from companies that have run out of room in the central and northern markets. Defense contractors and, in particular, the shipbuilders in San Diego have made recent expansions.

With the new community-plan update, the residential developers are ramping up on land that benefitted from the rezone. Commercial and retail space will also continue to be in demand to support the growth of this market.

GlobeSt.com: What about Otay Mesa's location makes it ideal for this activity?

Irwin: Otay Mesa is 18 miles from Downtown San Diego, compared to another active industrial submarket Oceanside, which is located 40 miles away. A majority of San Diego's industrial labor pool lives in close proximity to Otay Mesa. Otay Mesa is also positioned between the San Diego/Baja mega region, which is home to more than 6 million people.

GlobeSt.com: What else should our readers know about this new spec development you're doing?

Irwin: Industrial development in San Diego has taken place in cycles over the past 30 years. The majority of buildings are now 20 to 30 years old. These older buildings pose design and functionality challenges to users looking for efficiencies. We design our state-of-the-art buildings to the highest standards to give our tenants a substantial competitive edge. Whereas older buildings stand at 22-ft. to 24-ft. clear heights, we are building 32 feet or higher. We install thick building slabs, heavy power and heavy-duty roofs to cater to modern manufacturing processes. We design our buildings with optimal warehousing depths and column spacing, high dock-door ratios and concrete loading courts that are sought after by distribution tenants. We work closely with our tenants to design these buildings, and with more than 100 acres of entitled land in San Diego, we can deliver state-of-the-art buildings that users demand.