Cyburt: Southern California is really our focus right now, in addition to other major metros such as the Bay Area and the Northwest (Seattle and Portland). You've seen large owners of real estate drive the Orange County market. In many markets, you can find a dynamic with new housing and great commercial retail and quality of life, and that's what we're looking for; we're looking at projects in that building that fit in with that. This is at the edge of Irvine Spectrum proper, near Lake Forest. We felt there was some rollover of tenant leases in the building, so we could move rents but also reposition the property, upgrading it and creating a better environment and place to do business.

What we do as a fully integrated company is that we like to come in and be thoughtful to the tenant environment, changing things and making it a better place, but we're also catching this building at a time when the Irvine Co. is escalating rents. The income growth in Orange County is in the South Orange County area primarily. As as housing grows, job growth will follow in that market. It's great to be able to step in and make a good investment with our capital partner.

GlobeSt.com: What are your plans for the property?

Cyburt: We bought it from an institutional owner, and that's what we do. We haven't yet gotten to the point of renovating the lobby or creating other infrastructure that today's tenants want. For example, since their work hours are more flexible, there are outdoor amenities that need accommodating, and we're continuing to put additional money into the common areas of the building—not a huge investment, but significant enough to where we'll be able to change some things so we can command higher rents.

GlobeSt.com: What is your acquisition strategy for the West Coast region?

Cyburt: A lot of people feel the market is a little long in the tooth; whether debt or equity, people feel that. But there's a big capital push on the West Coast where they think the market is still growing, and there's still a lot of growth in the market from companies relocating on the West Coast. We've seen what's happening in the Seattle, San Francisco and Greater L.A. area, and we think there are a lot of opportunities.

You have to be thoughtful these days, and we're more thoughtful about getting into markets that are moving. In San Diego's Mission Valley, we're making an offer on a building. We're looking at dissecting markets and how to compete; sometimes a market has topped out, and we can't from a value proposition actually do anything there. Our investment thesis is try to figure out which markets we want to be in and to figure out granularly which properties work for us. We want to be able to buy and catch up in income or rents to where the market is currently. Sorrento Mesa a little flat right now, but someone may be looking to sell because they don't want to put the necessary capital into it. We're thoughtful about all the things you have to do for being successful, but it really is about having an institutional presence in those markets and the people working in our company who understand those markets. We're covering the greater Southern California market with two people who have been in the market for quite some time. They know the sellers, the brokerage community and the capital-markets people and can figure out quickly where the seller is and the viability of making something happen on the property.

GlobeSt.com: What else should our readers know about this acquisition?

Westreich: We've historically been known as larger office owners in New York and DC, but there's a lot of capital chasing those deals now. We're a value-add owner/developer looking for opportunities to create value for investors.,

Cyburt: This is a little bit smaller for Monday. We're very prominent in the New York market but we're also a company that has been able to sustain down markets. We're very much pivoting and looking on the West Coast now, but also on the East Coast. Our capital partners are bi-coastal and still investing in the Northeast, but they still have a mandate on the West Coast and are able to facilitate those relationships out west.