The tech industry is growing in Orange County, and just as it has in other Southern California markets, it promises to have a big impact on the office market. The Irvine Co.'s UCI Research Park, a 185-acre business park undergoing a major reinvestment, has signed leases with four new tech tenants totaling 100,000 square feet. The tenants include Cloudvirga, Rauxa, Ready at Dawn Studios and Urovant Sciences. These leases are indicative of the market's growing tech market.
“There are many factors [driving growth]. One of the most important is access to world-class talent,” Tom Greubel, VP of leasing at Irvine Co. Office Properties, tells GlobeSt.com. “Orange County is home to UC Irvine, one of the nation's top research universities, which has more than 17,500 students currently majoring in S.T.E.M. subjects. Meanwhile, UCI Applied Innovation is accelerating the incubation of our already thriving innovator ecosystem.”
Quality of life and warm year-round weather has also helped to attract companies, including tech titans Blizzard Entertainment, Cylance, Amazon, Edwards Lifesciences, all of which have established roots in the market. In addition, the market is home to hundreds of smaller firms and start-ups from the tech, fintech, bioscience and innovation firms, according to Greubel. “Combine all those factors with the modern amenities offered at UCI RP, Discovery Park, Spectrum Terrace and our other vibrant workplace communities and it quickly becomes clear why Orange County generally and Irvine specifically have arrived as renowned innovation hubs,” he says.
Access to quality space has also been important to fueling tech growth in Orange County. The Irvine Co.'s redevelopment of the property includes the addition of a chef-driven café, fitness centers and expansive outdoor spaces, all of which are the types of amenities that attract tech and innovation companies. “The reinvestment and customer improvements, more than $100 million in enhancements are underway, underscores UCI Research Park's emergence as the most attractive university-adjacent research park in the nation.”
Broadcom;s move out of the property was the catalyst for more tech leasing activity at the property. Now, UCI Applied Innovation plans to double its footprint at the property, while another company at the property is enabling entrepreneurs to bring new discoveries and inventions to market. “There is a significant demand for highly-amenitized projects. Modern workspaces in desirable locations provide a significant edge in the battle for top talent and help drive the inspiration that leads to innovation,” says Greubel. “That's why we're building the one-of-a-kind, 1 million square foot campus Spectrum Terrace at the intersection of the 5, 405 and 133 Freeways. We're also adding highly amenitized workplace communities at Discovery Park in central Irvine. Interest in both projects is already strong.”
As a result of the recent leasing activity, UCI Research Park is now 90% leased. “It's a testament to the quality of the location and the vision that's come into focus with the reinvestment that we are now more than 90% leased only nine months after Broadcom's lease expired,” adds Greubel. “Activity on the remaining space is very strong, as is the interest in Spectrum Terrace and Discovery Park.”
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Kelsi Maree Borland
