HomeMy WebLinkAbout1986-02-18; City Council; 8369-3; ACQUISITION OF SPACE FOR BUILDING , PLANNING AND ENGINEERING DEPARTMENTSc r:
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:e-/ \+- CISOF CARLSBAD - AGENaBlLL -_
DEQT. HD.. AB#m- Tm. ACQUISITION OF SPACE FOR BUILDING,
MTG. 2/18/86 PLANNING AND ENGINEERING DEPARTMENTS CITY ATTY
DEPT. C* Mqr- CITY MG R.
RECOMMENDED ACTION:
Review attached information and authorize staff to finalize
negotiations and prepare documents for one of the following alternatives:
A. Lease space at 2431 Impala Drive.
B. Purchase building at 2075 Las Palmas Drive.
ITEM EXPLANATION:
At its February 4, 1986 meeting, the Council reviewed and dis-
cussed that attached Agenda Bill regarding acquisition of space.
The Council asked for further information regarding the merits
of leasing versus purchasing a building to provide the necessary space. The Council also asked for information regarding amount
and vacancy rate of similar space in Carlsbad.
The City's auditor, Deloitte, Haskins and Sells has been asked to review the issue and a report from Mr. Robert Reicher is
attached.
Also attached is a review of the Carlsbad office/high tech
market provided by John Anewalt of Daum Johnstown American, a local real estate broker. Mr. Anewalt represents the owners
of 2431 Impala Drive. Also attached is a summary of the amount of major industrial acreage in the city prepared by the Planning
De p ar tme n t .
A final offer has been received on the Palomar Airport Business
Park building at 2075 Las Palmas. The purchase price would be
approximately $1,659,405.
EXHIBITS :
A. Agenda Bill No. 8369, dated February 4, 1986.
B. Letter from Deloitte Haskins & Sells.
C. Report from Daum Johnstown American dated Feb. 6, 1986.
D. Summary of Major Industrial Acreage in Carlsbad.
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DEPT. HD.,
CITY Am- ACQUISITION OF SPACE FOR BUILDING,
P MNII? G AND EN GI WEE RING DEPARTIGNT S
AB# 23b9-*2 TITLE
MTG..3/b/= CITY MGR DEPT. c* llqr e
RECOMMENDED ACTION:
Authorize and direct staff to finalize negotiations and prepare
documents to approve one of the following alternatives:
A. Lease s;?ace at 2431 Impala Drive.
B. Purchase a building at 2075 Las Palmas Drive.
ITEM EXPLANATION:
Two buildings in the industrial area are being recommended fo
Council consideration. The buildings are vacant and would need to have appropriate office space constructed within the existing shell. The cost of these tenant improvenents is estimated at
$15 per square foot and would be amortized as part of the month1
added to the purchase price. The two alternatives are outlined in FISCAL IMPACT,
rent, paid directly by the city, or in case of a purchase be
Alternative A would provide for a four-year lease with option to renew. This is the preferred alternative because of the building's design, location, parking an6 cost. There is no purchase option on this building,
purchase. The building could also be lease-purchased pursuant to a lease-purchase agreement with a bank or financing entity.
If the City Council feels that it is better to purchase a buildi it is recommended that the city enter into a lease with an optio to purchase, This would allow the Council to seek voter approva prior to exercising the purchase option.
Alternative B would provide for a lease with an option to
Under the lease-purchase approach, the city would enter into an agreement with a bank or financing entity who would purchase the building and lease it to the city,At the end of the term of the lease-purchase agreement, the city would own the building. Legally and technically, the city would only be obligated to make lease payments one year at a time and could end the lease purchase agreement at the end of any given year. It can be argued under this approach, that a vote would not be required since the city's1 obligakion only extends for one year at a time and would be less than one million dollars.
Preliminary office layout studies have indicated that the Bui Engineering and Planning Departments will need about 18,000 squa feet of space, The buildings the City has been investigating co
from 22,627 to 24,490 square feet. The balance of the space ab0
18,000 square feet has been considered for use as storage or f a possible location of administration office for the. Utilities/ Maintenance Department.
I
r e Agenda Bill BC.9-*, . Date of Meeting 2/4/86
Dept. City Manager
Page 2
ITEM EXPLANATION, Con' t .
The City currently leases 5,760 square feet of warehouse space
for 43C per square foot. This lease will expire in October 191 The excess space in the Building, Planning and Engineering Bui. could be used as a warehouse until a permanent warehouseis bui: in the second phase of the Public Safety and Service Center (P!
The recommended use of the space would be to house the Adminis Offices of the UtilitiedMaintenance Department. When the Pub
Safety and Service Center opens in the Fall of 1986, the equip] maintenance division of the Utilities/Maintenance Department w move to the PSSC. The balance of the department will remain a
the Oak Street yard. This separation will cause operating
difficulties for the department and it would be desirable to m the entire department to the safety center. The'field operati.
units of the Utilities/Maintenance Department would be moved t the PSSC. Having the U/M Director and his administrative staf located with the Building, Engineering and Planning Department
would provide for closer coordination and sharing of informati and resources between those departments and would put the U/M
/ Director in closer proximity with the rest of his department.
FISCAL IMPACT:
If the City Council decides to lease building A, the annual re
would be approximately $235,692. cost would be charged to the general fund and the balance agai utility funds.
If the City Council decided to purchase building B, an appropr
of approximately $1.7 million would be needed.
janitorial services and utilities which is estimated at 28C: pe square foot per month.
Seventy-five percent of the
'Under either proposal the city would be required to pay for
PALOMAR TECH CENTRE I, BUILDING I
Address: 2431 Impala Drive Size: 24,490 square feet Parking: 88 spaces Term: Four years
Rent: $942,767 (total rent could range from $895,746 to $942,767 over four-year term of lease)
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Agenda Bill # ti3 bq -* /
Date of Meeting - 2/4/86
Dept. - City Mgr.
Page 3
FISCAL IMPACT, COn't.
PAtOMAR AIRPORT BUSINESS PARK .
Address : 2075 Las Palmas Size: 22,627 square feet Parking : 80 spaces
Term: Four years with option to purchase Rent: $1,350,761 (total rent could range from $1,272,929 to $1,350,761 over four-year term of lease.)
Purchase Price: $1,754,405
Lease-purchase cost - $2,100,000
EXHIBITS :
Location Map - Building A Location Map - Building B
Building B
2/11/86: - NOTE: Additional information will be provided to Council at their meeting.
FOR LEASE
24,490 Square Foot Building
Divisible to 6,122,12,245sor 18,368 Square Fei
' . . .\ - .' ' Building #l, Palomar Tech Centre 1
,2431:&2433 .- Impala Drive, Carlsbad, California
0 Landscaped Industrial Park in Palomar Airport Area
0 Prime Freestandinq R&DjLight Manufacturing Facility
0 Offices being built-out with WAC and Restnruns: % .
0 4 - 12 x 12 Ground Level Truck Doors
0 Fire Sprinklers construction 1
0 14' 6" Clear Height
0 1,200 Amps, 208 Volt, 3 Phase Power
0 3.11/1,000 Parking Ratio
0 50'#/S.P. NNN First Year Rent with $10/S.F.
0 Neighbors include: City of Carlsbad Public Saf
Center (under construction), Beckman lnstrum
Hughes Aircraff, Chrysler Corporation, Farmer Insurance Regional Headquarters (under
Site Plan on Reverse Side
Tenant Improvement Allowance
For more information,
please conkadz ~ txnJcK-wr' .
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This building is ideal for light manufacturing,
warehouse distribution or research and develop-
ment. Units are available from 10,ooO square feet
with office space suited to individual needs.
The design provides flexible space finished to
the requirements of the tenant. Palomar Airport
Business Park is master planned to provide an ex-
cellent work environment at competitive rates.
Building Features . * Tilt-up concrete construction. * Space available from 10,OOO to 22,627 square
* Custom or standard interior office im-
and the port of San Diego served by 26 ship
ing lines. * All weather FAA-operated airport located nexi
to the Park with a 4,700 ft. runway accom
modating aircraft up to a DC-9. * 1.8 million population in county, 890,000 ir
the city of San Diego (the 9th largest city ir
the United States). * Within 1 YZ hr. drive of the Los Angeles metro
: . politan area with more than 11 miilion popula.
tion. 1 hr. to Orange County. * Diversified labor force of half a million. * 1% miles from interstate 5 and 2 miles from
the Pacific Ocean. * Located 1 mile from the La Costa resort cam-
munity.
Major companies in area include Burroughs
Corp., Hughes Aircraft, Beckman Instru-
ments, U.S. Foam, World Communications,
Inc. * Palomar Airport Business Park is a 330 acre
master-planned industrial park which opened
in 1975.
-
.
provemen& -constructed to meet client re- .
Inc., Linear Corp,, Lockheed and Cai Omega, * Ample on-site automobile parking. * A clear ceiling height of 16 feet. * Fire sprinkler system. * Landscaped site.
Location Features * Central location in North San Diego County,
one of the fastest growing areas of California. * 35 minutes from downtown San Diego. * 10 minutes to key North County communities. * 35 minutes to San Diego international airport
ZOPtOrf
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I - - .. - - - I-- - - - 0- - - -
Contact Dorris Sauder,
Leasing Manager: Palornar Airport Busines! Telephone (61 9) 438-2552
Building #44 - 22,627 sf.
2075 Las Palmas Drive
. 0 0 EXH1B1T lfB"
Mr. Frank Mannen February 13, 198i
Assistant City Manager City of Carlsbad
1200 Elm Avenue
Carlsbad, California 92008
Dear Mr. Mannen:
We have attached our financial analysis of the two alternatives for providing office space to the City of Carlsbad's Building, Engineering and Planning Departments. Specifically, we have included the following exhibits:
. Exhibit A - Cash Flow and Assumptions of Leasing the
Palomar Tech Centre I, Building I
, Exhibit B - Cash Flow and Assumptions of 3 Lease Purchase of the Palomar Airport Business Park
Exhibit A assumes a five-year lease on a triple net basis while Exhibit B assumes a lease-purchase. In this second
scenario it is assumed that the building would be leased on i triple net basis for the first year. At the end of the first year the City would then exercise its option to purchase the
building. In order to finance this purchase the City would use Certificates of Participation whereby a third party lessor would actually purchase the building and lease it to
the City. The lease payments would be structured in such a way as to amortize the financing of the building over the term of the lease purchase agreement. The City would own th building at the end of the lease term. It is also assumed that the City would sell the building at the end of the fift year. Both Exhibits were generated using informstion thak you provided to us regarding leasing rates, estimated costs and physical dimensions. In addition we obtained relevant financing information regarding the Certificates of
Participation from Mr. Michael McNamara of Fieldinan, ROlapp and Associates. As we discussed on the phone, we will provide a verbal description of our methodology and assumptions used to the City Council rather than to attempt lengthy discussion here,
e .. Mr. Frank Mannen February 13, 1986 2
The preliminary analysis that we have provided shows that, based on a strictly financial preparation, a straight ledse
is more advantageous than a lease purchase. In this scenario, the difference is approximately $103,000. However,
it is important to note that there are two key variables that
significantly impact the analysis, The first is the financial terms of the Certificates of Participation. The
rate and the term of these Certificates can have a major impact on the lease payments and therefore the total cash
flow. In addition, varying assumptions about the value of the building at the time of sale can significantly impact. net proceeds from the sale and thus the total cash f'tuw. These
assumptions include estimates not only of appreciation/depreciation but also of the value of the tenant improvements. It is very possible that the tenant
improvements that the City constructs will be of little or no value to the subsequent buyer. As a conservative estimate we have assumed zero appreciation and no residual value for the tenant improvements. We suggest that you consider generating a variety of different sets of assumptions (e.g. different lease purchase terms and appreciation/depreciation rates) to
evaluate their potential impact on the analysis.
We look forward to meeting with you and the City Council
members to explain our analysis, discuss implications of different financial terms and market conditions, as well as non-economic considerations that the City shouid consider in
their evaluation. In the meantime, if we can be of any further assistance please feel free to call Mr. John Herold or me at (714) 641-5500.
Yours truly,
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EXHIBIT A
CIM OF CARisBAD
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LEASE W RCHASE ANALYSIS
OPTION A:StRAIGHT LEASE
1 2 3 4 5 TOTAL
BASE RENT $159,283 $159,283 8159,P83 6159,283 $159,283 E796,415
32,327 32,327 32,327 82 9 327 32,327 161.634
I ADDITIONAL INPROVEMEMS
COMHON AREA MAINT.[CAM] COSTS 38,204 38,204 38,204 38,204 38,204 191,022
OTHER EXPENSES 82,286 85,578 899001 92,561 96,263 445,690
MWING MPENSE CREDIT [ 10, DO01 (01 (01 101 la) [40.000l
I___ - -
TOTAL CAW R(H3 188D2,IOl) [S3?5r3821 [5318~815) 183229375] lL32€~078][SI~584~760]
_I_- - =- -
ASSUMPTIONS :
SDUARE FOOTAGE 24,490
BASE LEASE RATE[INCL. VlO/sQ FT $0.542
OF T/I'SJ
ADDITIONAL T/I 'S[ $/a m1 so. 022
8 AHT OF VI'S ABOVE $10 $5.00
CAH COSS[S/SO FTI $0.13
DTHER EXPENSESI$/Sl FT) 60.28
MWING EXPENSES CREDIT 610, 000
INFLATION FiATE 1.04
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EXHIBIT B
CITY OF CARLSBAD
LEASE FURCHASE ANALYSIS
OmION 6:LEASE WRCHASE USING CERTIFICATES OF PARTICIPATION
I 2 3 4 5 TOTAL
BASE RENT/ LEASE PAYMENT S234pF68 $250,926 82501926 8250,926 $250,826 €l,2381571
- 311062 32,305 33,597 34,941 131,905 CAM COSTS
OTHER EXPENSES 76.027 79,068 02.231 85,520 88,941 419r785
LOSS OF TAX REVENUE - 5,000 5,000 5 I 000 5,000 20,000
TOTAL cnss (8370r8951 /5366#056I fQ370r461 I [S375pO43) [$379,807) I Sl,.!302,262)
-
SALES PRICE $1,350, ODD
LESS :
CEmIFICATE BALANCE 51t1761175
SALES COSTS $65,500
$1 08 , 325 NET PROCEEDS
TOTAL CASH RON [ L1,69%936 1
I
ASSOMPTIONS :
aUARE WOTAEE 22,627 s.
LEASE RATE PER S.F. [Yr 11 $0.865
FURCHASE OPTION PRICE [Yr 1 1 $1,350,000
INTEREST RATE 8.5%
UNAMORTIZED TENANT IMPROVEMENTS $271,524
TERM [Yrs) 10
CAM msFs [$/SI Fr) 80.11
OTHER EXPENSES(WS2 FT) $0.28
LOSS OF TAX REVENUE 85 , 000
FINANCING COSTS $65 1 000
APPRECIATION FACTOR 0.E
SALES COSTS:
COMMISSIONS 3.0%
OTHER $%.OOO
INFLATION RATE 1.04
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EXHIBIT B[M)KT. 1
CIN OF CARfsBAD
LEASE PURCHASE ANALYSIS(OK1DN e]
TENANT IMPROVEMENTS
TENANT IMP COST (0 S15/ S.F.) 8338,405
LESS: tsr YR AMOFIT r5 YR AMORTI $67,881
UNAMOKTIZED TENANT IMPROVEMENTS 8271,524
PURCHASE PRICE
BASE PRICE 81,3509000
UNAMORT.TENANT IMP. 8271 t 524
FINANCING COSTS S65,OOO
TOTAL PURCHASE PRICE 61,6869524
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SRN DIEGU CUUNTY? S OFFICE MGRKET
- t he Sari Dieytxt Coctrity ctffice riiarket has experienced a mar-.ked in-
cr-ease iri available space in the last couple ciF yeal-s. The rieai--
capac i t y occuparlcy rates and stead i I y i ncreas i rig 1 ease rates
devel npe~.e; have been ayIswering in a Feverish bsuk of constr-uct iunX This *kt-end ktas especial ly evident irr ciowurtnwi'i Sari
Uiegu w:i:kh the curiiir:g un-l ine ctf fctur- net., higi-r--rise off ice tower*s
to% a 3. i rig wder 1 " 7 rii i 1 1 i cm sq uai-e Feet of space i ri 1382:.
Explosive gmx*wth iri of.f:ice space can also be seen in the Gctl.deri
? i- i arrg 3 e" Th i s i E. *:;he area boi.trided by 1 rrt e~st ate 5 cwi the west !
In-ke.rstatc 885 cw: the east and State Highway 52 on the south,
Nearby, in the Six-v-eritci Mesa/Sorrento Val ley area, ctffice/high
technology praject ctwistruct ictrt prtrrdcmi nates;;.
13 qood deal of Sari Diegu Ccti..ti.lkys s gt-ow%h in recent years has been
in the field of high techrictlsgy industries, particulariy in the
area of research arid deve 1 opriient arid in el ectrcwi i cs manu-
Fac~tur-inq. 9s iridusti-ies sf the -f~~i;ur-.e, %hey represent a ski-ong
backbone tht-ough econamic ups and downs arid a~e vital cctriipc~rierits
to Sari Kiiega' s gi-c:Iw.\;A. l"i-ley also signal the development uf
hui 1d:ireur; that ~PE! ac'ctial ly afficelindustrial hybrids which cay,
be used by high .t;eckrioloqy f im3s irrvolvecl in research, pi-?uject
developrrient ' arid/m- distribut ion as we1 1 as Far- i;iY=ficE? users ut-.
1 intit irrdur;tr-ial appl icat ions. They are current Iy refer-r-ed to a5
Resear-ch anci Development {R&--D; cw "high-tech Flex" bui Idinas.
The shift in emphasis in kRe types clF industrial furict icw5 and
the grawth ctf riew industries in Sari Diego is just begiririiny?.
Gct i vi t y can be ex pecf ed .t: ct esca 1 at e as t I-re ecortorny grctws.
Gerieral ly, the ].ease rake schedules for these spaces wi 11 be
higi-ret- .khan fmt- pttr-e industvial space, but soniewhat below the
asking rates for quality oF-fice space. S'orilE or" the riewet-, high
quality . RX.D space khat has ctme lrcwi-lirie" is being left in
"shel. 17 'I ut- urtF i n .i shed cund i t i or1 i ri ut-der to g i ve pt-ospect i v@
teriarits ard/ot- ctwnet-s mur-e flex i hi f ity. R&D/hi gh--tech structl-tres
are I~ecom i rig r'iiore cmmiiori i n t he Sol-r-ent o Va I I ey, Scwii.eritct Mesa,
Mi r*arnat-/Scr:i pps Ranch, Kear-ny Mesa arid Newt h Cuurit y areas.
131.a~ impcwtant. to Sari Ziiega is the gt-owing riurnber- of firrns
inter-esked in 1cca.t; ins their- ccwprwate headquar%er-s her-e. R1-
t-earjy, such fim?s as Cubic Corp:Ir-at ion, En F. Huttouc, TraveLcdqe,
blissan Design and Signal Ucmiparries have decided tls make Sari Diegcl
their- co?-pcl?-a%e homes. 11-1 is riiearis a dewarid for high-qual iky
oF%ice hi..ti Idir~ss with kIiclcks cif space avail.able tm acccmccdake
hei.ng chairged %c.r ctFFice space irr sc~rne avear, signaled a reed that
-
....
-1-
Ci:tt-pcii-at e Cewk ei- t h at ai-e cl e5 i gried t
Cl. icritcle, -
CI at tract L I? i s very spec i a 1
parameter^,. For each areag a gr-ctup
was chosen and st ttdied. The pui-pctse
every bcti 3.cling in an area? but .ha
pi-oject5. mast r-epreserttat ive ctf the
g e [:I g r' E( p h i ca I. 1 oca t i ctrtm Uhi le ol.dei-,
have been irtcfl,c.{ded, the erflphasis is I:W
to be riicti-e repi-eaentat ive ccF Sari
rlevel. mprmrtt I It shi:lt-tld be n&ed
irtci s?.ded is given a gerter-al .1; iriie
estate is a dyrlarriic pt-~:cess artd irtFcwnat
Lease and sccupancy rates qivert shoi-tid
of bui Idinas and/ut- prw.jec?;s
is not necessai-i ly to stctdy
chctoss those bui ldirtgs txr-
leasing activity with in that
rtimt-e eskabl ished bui Zdirgs
rtewey- spacec., as they tend
Dier;og s fi-ttt-tt-e ?-ea1 estate
that, while the information
period, the bi.tsirless ctT veal
ian chaviges vet-y rapidly.
be used anly as a general
0 6-
RESERRCH METHaDOLDGY
Fcw khis sti-iCiys Sam Diegct Cctur$ty is divided imto the .FaJll:twinq o*Ff:ice mas.k.et5;. Clne ur rm:ct*-e of 'r. he pet-$ i rrerit markets have been
i ric 1 uded fix- your review :
* p.1 i 55 i cty-i <)a 1 3 ey * f) 1:s w ~i.k a:< ht im$ * I:;ar.l .;bad
+F Dei Mas-
++ Ucea~is i de * Kear-ny Mesa * M :i i-ariiar-
* Raricks Eer-rrardo
.% E;cr-.ipps Ranch
++ ta :rcliia
* St:ti-t-erit s itlesa
* Ect1den Triangle *. Tclr-i-ey Pi res * Saw-ertt c: Va 1 1 ey
Bt-tildir~qs were chctsen fctt- iriclusion in this study twi the basis of
sire arid/at- significance to the area being studied. Prt:i..jeote,
over i2B7 QrGsB sq uar-e f eet were gertera 1 1 y i rIc 1 cided y and I i n ~ur~ie
cases, srilaller sized hi-tildings which were rept-esentat ive of
leasing patter-ms fur- an area ut- we?-e part of a lay-get- ps-oJect
we\-e alst~t irict:tt-pOt%ated. Drt ~tmie project s:, the nek ?*err% ab i e
sql..\are feet at-e est i mates and scme d i screpancies aniurrg sut-veys
buildings hav@ riilisjsing data ft:tr-. past years. This rnay be due, in
par-.\; 4 Lo corwer-si or$ of space tct cw Fr-cw 5 i rig 1 e--usev-, tztwrusr*-
ctcc ~i p i ed i rtd ct st v- i a 1
%o ctf%i ce./HRD spaces; ircl usiori c:f previcci..isly unsurveyed spaces
and/or rtem constr-uc.t it:tn. awrtet--ctccupied, wat-eRour;e arid str-sict ly
imdustr-ial spaces have been aerier-a1 ly orriitted from %he s.kl-idy,
Chuuyi7 5t:trne krartsi L ictnal space wil 1 be included and be
r-ecugriinalslc by 131-IE Icwer- lease r-ates.
Rbsl:trp.t: ictn ra.l;es have rick been calculateci in this stctdy since
they rep?-esenl; only a [:me-t ime, i inear occuparicy ~a-kter-ui For- a
r1ew1.y cctristr-uc'ced bi-iiidirig, and dt:t not deal with the dyriartiics of
subl.easiny and a ccmstarrt ly chavrg ing office mar-k.ei;.
C~YI c$teri be tvacsed to this:,. In adcli*t:ii:in, 5orile sf *the pi.W,jec%c,/
.-
'c ct rnti I t i - use bu i I d i ng s 5 r-eriovat i co-1 frorii
- 3-
a 0 .. 2.
..
,I ..
c fq R L sa {qEj
o;q2iy)/&j: &.] 'f$y../ p$$$t$y(.
5ar.s DieEit:c$ -. 5 PLj*:tyt!-s Cc{t~yrLy qyctwtji is especi.aj. 1.y evidertt in
Carl.;batl"s Pal cmiar L3ip-por-t at-.ea. It is conveniently lccaked
$eS:.ween the Sari Dieyo and L-ns Anyeles/Or-arrge Counky mark.eks and
B k. i 1 I ed 5. a bcw. P*:t:ls-ce.
The 338-aciw Pa lcmas- Eusi ness Pat-.k caperred irr 1975, ard ?*-epresrnt s
the .vi rst development of its kind irr the area. It is charactet--
ized by ?-r-U:t 1 irrg hi I. is, landscaped open area, and parrot-amic views
of the Pacific i?cearr. Mitsui Fudusan (USA) 'I Inccwpcwated is %he
wwrei- and plans? tct ircictde amenities such as jc{gging tr-ails and
marr-made lakes irr the futut-e phases of deve2upment. Six other-
cleve 1 ~:~p~f~~n~; 5, .C: <:& a 1 1 i rig #:wet- 1 T E588 act-e~~ ai-.@ underway cw p I. artrreci
Most riskable wrriorsg tl-~ec-e is Eccl. l9 B Carfsbad l2 -
Re._;zar-ch Cerrt et-, 1 t znccmpasses SG@ acres ancf has a piarrrred
bui :Irri-ot..it [:If' ken year-5. It i 5 pt-ed i ct ecJ -i; ha% c3vet- five ard
wi 1 1 be i3iJi :i k f-lEr-en
fi .tt:t.i;::t>. <:IF 22 el: j.r=,t ifi~ pyt:tjec.ks with 1 s :;a@, 1 ia E.qi-iai...e f=ee.k <:If
there is m abi.mdance sf develcqxible land, alorta with a high2y
3-w t h i 5 area,
.-I yr e _. i-3 a .j .. f' rili 11 i~yty~ sql-tat-e feet. of RBD, UFFice a~i~i i~idi-isk~~i=\~ ~C~E~CE
spc~ r-a~r~irsg Ft.,cw R&Gj/higk tech tct hic~k qt*taI:i,tv ~ c.".:' I i i xce7 has:. bcerr
irrcl~~cicri irr %i-l:is ~ii-ty-vey, *- : 1.- ,re ci-ct-.r-err.k civei-ai 1 r~cc~.tpa;rrcy t-ate is
.& :l " 78 per- 5q :-\=(ye f"<:l,st ctf I ea5ab :i e E.,q&.ce" .4..4"z77 85e sqI..ta>-.e Feet i Y,
.. -.. f-J.5, p y; jsel"cejz'ft ai.ld fj1i:ijejj;l-r IY lea.5e i---.;a.kes parjQe fi".t:{riJ $8. 45 .LC[
-I ./ pr-,:,,] ect 5:. a.7-e ~t-\py-.ey-g.k l y urtdey-. Ct:crj5t yi-tc:.k j. t:lipcg arid 4
rfl<:r ?-.e pj j .t i-j a t rl t a 1 I:i .y 2. 9 3 4 5 s,$ G. 9 1-t a t-. e .? r_3 p t CJ F r; 1.7 ;~ce j. 5 3 y r:l p I:! 5 e d I - .-
w 0 .I
..
.\
TdBLE T
CDWPkRlSON Of
BY lSREFl
ai=Fz-cwHm-i TECH SPFSCE TM EXISTING BUILDINGS
E, FEB 3.986
L€K Rm EURL~4€WS TOT& iEAsEil WT WE Ti
Hission Vailey 67 s, sn, ?G 5 833,438 73,327 74.4% 98.71
htonn 53 6, n&, 83 5,262@2 i9#3,fE 76.2% 30. %
Carlshd 22 is&@, 1% w5 B1B M, i&a a* 1% 98.4s
lie1 Flar 36 1,317, Bi4 %4*718 5.7, if& 69. % a. 75
iiceamide 8 zi& i& m, !% 164,653 47.M @. f3
Kearny &sa 75 &93&sSs 2,7a,m l,X?3,14@ 69. a a. 3
Hirarsar 2i 1,247,332 W,% %%$a% 6i. 4% 68. XI
Scripps 3amh 14 x4,m 548,m 57% @f 1 37.8% M. 33
!?ar&cr km-dci 34 %=,m 3s$m 1,288, la a at: $3.63
%wenio &sa Si 3* 249% i6 i , 37,475 1,&1, GX 42. I% $!a. 65
g$upmgy TOT& 92. n. !a n. SB. FT.
-
La Jdia 28 9Sf,@il 735,543 as, 467 n. 3% si. is
Golden ?riangle 2% l,saT 148 iTm3,226 345, w ?a. 7% $1.05
Twrey Pire !B 927, d6ar E!, ax 174,9i33 61. i% $1.3
Sorreulto Valley f9 m, 4% 495, #E 324,657 64.4% a.3 - -
SDSGLS: 4G 3,424,324 i9,533,?67 9,675,557 66.4%
w 0 I.
..
TRBhE If
CtiMPfSRISON OF
EXISTING AND PROJECTED SGCUFSRE FEET OF
OFFICE/MIGH TECH SPFICE BY RRER
6 FEB 198G
wii
Rim EXlSTiR CiWTRETiODJ PXPDW TQrrRLS -
iutissiun ifalley &,Sn,?@ t67) 1&5BL5 I4) 3i2,m ( 21 3,%,27@ (73)
DcrKfitOWl 6,3%,835 t58) &sel I e1 I,ifQS,rn t 3 8,173,216 155)
&rl&i! l,m,ilB I221 447,332 l 7) 133,5818 I 4) 1,%1,W (33
&el Rar 1 , 537,814 (366) 325,458 4 fl U,W i li 1,703,764 I421
&earside 35;1,i~ i a) & ( 8) % (81 352,165 1 8)
Kexrry ilea s,%qm I731 431,w i 5) *,€la I21 4,78936 W)
Miwar 1,247,392 (21; Ti215 t 2) 1a8,m f 2) 1,427,&%7 t23
5ci-ipps iiarrfh WfI% 114) 65,- i 1s 0 It@) 985,BS i1S)
Ramh Bernardo 2,2*6#@ 1341 *@a (1) 8 (8) 2,@&,W t35)
Sorrentcl &sa 3,2493:85 1515 1,Ea,4?7 (iJ) 1&,@0i3 t 1) 5,bmfSa2 [7If
La Jdia 951,BtB m!B) 8 tli 17@,0&3 i 1) i, r21,aia (29)
6ddn Triangle 1,&?5,14b I221 712% f 71 w,a f3 3,3Q5,i# i54)
Twwy Pines 27,m (18) i4E$m (ij 1 I01 i,&?,8riB (11)
Sawento Valley w,459 (191 8 <I) B t 0) m,459 f19)
TENS: a,424,324 (463 4,013,446 l 541 3,567,1% ( 91) 37,864,968 4538)
m i c:&;* lJq.,fcFq I E$+ f c), q@jp]9:Ry
.-
$--:gRisg@gj - .EX 3STH"':-- QFFiLzfEfG;+ ---e
~ -5'L :-r 3------'* -. .
i 'i r2.
stz*;y= if:"" i.r,-,,-.-- '-e+-
ZS,J& iga; ?:Id .$i,@k - .$:,pa + ; ig7; sLEW@s 'EBE$JL 2 1
?$$ $1, g$ .. $I, ?J + i CQf&C&$D i5&4 gap $ *%$ - .* *I f3g s' !
,L?~R -.ASCS LZ?AC '(EQR &ILT Eul-Bi;qG / aggzgg i CiTY .yi ________________________________________-----------------------------------------------------------~--------------------.
I V."
4 ':.:hLi 4%: /#g &q$fi &?$E * 2-
. .e 1983 @.Z$ .$ =55 - 5 ;&a
P-RZQ DE Lfl COfYfi ;E& 2 >S:&ifi 1966 3;s $I.$$$
igg 415 $I*@. //i;;s-777@ EL CEirtiBQ REEL iXRP2BD 3984 E% $i,@! Fap'!R !g,rj; jp; .$I= $2 $$"
-- jJX4i
23& SE&igI'y pfitl{Fic p~QF~~cInk&L Ijijli&$tG 3 e@,@@& 9486 221 $i*@ - $1.35 F-3 77@ Ei. CfitiM iiEfi~ 1965 43, $1*!pJ - $i,SS F.: LS cEzi4 f38& 42% $:,!$a - $1.55 F.E 1gIjz 23% $:*$a - $f.Z5 F,i
33,372 !3386 lBlp $1.55 - $1.78 F.E *-J& +rTc 1@Q$ $i*55 - $i,?& F . ., c g12: pjqLfrFIfiF! AIgPOgT RCrKl cFlaism 1384 88% $!.55 - $1.78 F,:
i38l GRpdRk ifi~~i~&~i@&i FifiZfi 2 3
1963 I@& $:,35 F.5,
1.38'" Cf)iii$paJ c@@EgCE cc,lTER 1 E&,748 i98S 9s % .E 62 5Jf5/5;iE;5iSS55/575 RVEWiDQ €@1@5 l965 36% B .75 GR CR,%SBfiO i984 37% $ .95 RUiL GR. zyfj3 93% $ 'j" 'lq 6.8, I JPdl
CRRWBr?D CMKACIAL EEER 1 57,365 1386 86% $ .65 - $ .75 iiif
c&&:&@ 1384 88% LBS t UYIL.
,.. 1 .sas 51Z@-5152 gfJ&IOB E&L'fMS 13.85 66% $ .& - $ .75 G%
1963 g@$ $2.85 t UTIL.
13&Z &WDREX &jSlgEs CE&TEW 1 27,272 iIj& 2261 c&gDs CtjUgT 1965 CflRLSMD 1384 i965
1382 PLGiR DEL MilRiE 2 2g5@J 1986 71% $1 .Li' .x= - $1.45 F.S
&:;$ pfi$gc 3ZL HfjRjFiTE 1g65 712 $1.25 - 9i.45 F.5 13RLSB$lD 1984 98% 4i. 3s" F. S. I543 6% $1.35 Fqs.
I983 ij&j&RR Tz& @ENjEg I a'i,2El. !'?& 44% $ ,PJ - 8 *&5 24451 -24;; I gpgifi Ngy f*3& 442 Q ,D - 5 .gg G%LS$?iD 13a4 .Cf* B $ A* - $ ,E
X'Jdd B .a !&4
1363 PRLOMA,S PJKS T?GHyiJLOG'i PRRK I 1 !88,tgi@ ixik 41% $ .q - $ .:a m~ 412 B .49 - $ =Ti? .$ *&& - $ *7g ..'.'
5 .Ti3 - B .xi
!46913i7'ji&5'b4 F&@QR DRjiS ~~~/'~~~/3fi pqifri<@ EWKS CQgR? ci?@ma i3& 1363
1465
1.sg; 1 14q49a 1386 Z+L $ .x - a .go 225: FAgOJ!:' #E. 1365 54% p; -78
CfiRL58PJ 1384 34% Q *iB 1FjIjg SI# $ .75 - $ .as t&yi
IS& gM2g &iiijCi$$j 2 :sf I@ iyJ& 51% $i, 16 t UTIL, S@% 2VESIDQ EWCIw; i9Ec 56% $i,i@ t U'ili. CR&;ggjfi 1984 $i.W t Fgi'
1565
-7-
r/HIGH TECH g 2$.p<~N-j-~g'r' 0 ikq&-gjEy aFm- ..
g-figiiSEggJ - 23; 1 ST 1 Mi;
~ .~
* S'gfifi &!is @ilJDfNg ,! h$jJ$cgg J C;?y $Lag2 gfia;7* ":fig ig&gjj ,gyg t$)yi'ES
_____L________________________________L_------------------------------------------------------------------------------------. i 3814 g$NDRE) gUSI$qgg'j C;N?ER i P'i,&j$ i.& i@&$ 5 ,45 - Q -55 p&q< p7@ wwzs c-ig: : 4 ,2*< ,Yi. i$&& $ a?$ - $ ,55 {!j#i
&pL$j@fi 3984 $ ,$ )jM
$ *TS &$If{ 1985
its& 2 55,sg itJ& iQgX $ #%& - $ , j@ 5
:g& 55% $ .5b - 9 .7G $ 1984 $ ~ ae ~ipi i gpJ
IU 3 954 ggplssgj Rt'SEGfif;H ZEiTEfi ;23,3'?;! ixsjjg 87% $ *56 - $ *8@ f$$i ~~;&qy]~~ Lg@Dg$j C7./5QFj i3$5 TZd .$ -75 $$$j c-@cs2p$ij
$I 5B f :>?.-: 1'384 SgQHgs &YERbjQ?lQ$!& PLAZA 1 i 3 33,972 1986 i@&X *.,. ~iii
&f! g&jgfig AIRPORT RQgB i.gg5 i&&j $1.58 f hili [fl&,SB jB lg& 61s $j#@ + GTii gs $i*35 FSgJ 1483
1385 i7CW PDIMTZ TZM Cc'FiTRE 1 86,432 ;sac; 57% $ ,i5 - $ji,ta $@:
54125451 MRIItifi ENCIZK 1985 58% 9 .65 - Si.% xm CAiiiSBGD 1984 Q .7s - $1.05 1383
is% FiICIFX CORPORATE CENTER ;i ga,z22 1986 % :e5 "X wm~~ avmm EKIW 1395 ,$ ,55 mii CiBLSBAD 1384 132.3
C&lRQ C@@UfjGTE E27.g 2 q7B 19a(; 95% Si.28 c b71Lz
CiiRLSBiID :w 23& c&jigg VI2 ;fpJi!i! 1385 95% $.iaz@ + UTI-. m5
1983
13gs Rijii gJ;&EECE CDTER a7 CgRisEgD AESiflM cy2 58,893 i3sg ~ti4: $ .z - $1. is ER 33 w55 ?%mi% ir'JiNUE 1965 gjji $ ,65 - $i,@5 $3 2aftiz2m 19&4 iw
23,134 !3& 46% $i,% f iiTlt. zi31 p&y&R ggrj;iiy R&qij a & diil. 4' c 27% $l,$z + ;:--* 694HfiK ~~~~~~g~i~~~i PLgER 111 3
MRiSBGD 13a4 $I*@ - p.45 -: 2'
I sas
iw
CGXiSBRD ?E& CENTER 2 48,252 i3& 41;2 Q .aa i&%
cr- :935 48% 9 .@ jjj! PRiE2TL'f lMI1JE WFiLLSBRD 1384 1'193
3 j 1'3&
-8-
.. OrrF@Z c J *- 5-E 1: GH fE@H T. &litl'EQTI3Ry a 'M%Y"tARi( CT;ARiSBfiD - G:qaER CO&STWf.-$C-j-IGjq
'.% - P&JiECTEC $$ia OF jyp&DX* FIRE- &TiClfi;fiTEi) cg@ETi OX BUILDii\iG ! liDT)fESS j CITY pcQ;% sg, 67, yEAg i;gsEo LEgSs gA(';Ef
NiEi
...........................................................................................................................
i B5,lSZ i3& :ggs 4 ,qj #kh ($HEp*
qtj.; &q$ Y 3-
i i 14G6 KREFFTi BJXE$!6 !@,@$I% 1466 85% $2.25 ggg $25 t'LW QVEVdE m as% $1 * Id .:'c film C%ii5ETlD
i i 1566 CFiRLSE23 IiESEiiRM CEUE3 2 38,432 151g.6 4pf $1.42 - $1.55 + ~ +a*;: i,bJ 4& 81.45 - $i,% f i FQRiQiV/EL L'WEI80 RERL CRS*SEIUD
&& c$," IPd.6 ? P 1% C%S$ifi FiESiiAACi CEiG,R LC 198s BLDG 2 FRFiDQYfE PAma RERi Chi7LEiEfiD
Ij 1 19% THE cficIF115uEj QT WHLSgW 3Z93RC4 cF%:gx 2 15i,65; 186 Q -95 - $1.15 Mi4 53@/64/66 Ljq RRCc' WiiRT icjs Q *45 - $i*15 K&p
C&&5Ern
3 P 15% Cfllit5BLi PfiCIFiG CENTER i 3 51,5$2 1986 $I.@ - $1.65 c { ?@3 FRLimR RiRPOR? ROEJ 13% $i.66 - 81.65 t i CAR58&?
9 f 1466 Kfii5Zii CMER Cfi%iWj 45,a~r 1466 9i.S EC PRLMRE FiI3PORT AQRDlCRRiKD ViCR ROBLE iy3: $i,&
CQGLSW
-9-
fiF &EiH 3 GH TECH 1 NUEMTGRY aMMURP CARLSEW3 - PROPOSEl)
I~ .. . ilRDJECTED NE. Iri iiPPFiliX'. PRE- ANTXiPk'iET,
'pp' u I tlohriIh -77 f $g$libpji?ji; / RPPW$ / C1i-y FiDai?; SZ. E, YZkR LEWSED LEQfE fiCliES
__1____1_____1_1_____________l_________l--------"----------------~-"----------~------"---"----"--------------------------------
pfiIgpg?R SE& cEzTgE iZ-3 781,838 19% i@iLi! P'RY 1% CfiRLfbR
4 f 1936 HEIg'ER Dp&i;lj5plEET 3 45,605 19B6 $!.45 fiV;MI$j EJIjCi!#j iygj $1.45
f;FiFiSB9D
9iJ€MQfi Et&:l;f%kS PLm 3 45,5&3 t%t; %!.42
QV~j;~~J @if&@ 19135 CFtZtSLr?%D
$1.42 7 / i3%
GRfiHAX I@ERWfi?:fj%jL PLLRSA IV 3 ;5,@@ i'r&
2141 PriiO%?R RfRPORT Pa3 CAfjLc;&qfj 2 9&5 i3&
-1Q-
0 RECENT LER5-E y-RjqL &eSHCT 1-c i) 1 dh$S CRRhSSfX3 JfiNUfis-y 1385 T$-J pWES'.jz2qT
Si;r.FT, It& %RYE/ it'SSEE 'SRTE p3EpEpf #JffE & fij)DRESS !-?@Sa (Fyg) S&FT. i&;#
d.
--e+
*t*-"~-~*~~-*l~"~~--.IIIII-IIY).II--~-~.."----""--------~--------------------------------------------------------------"----~--~~~~-~~-~.
I??@& 2& $iS$S -'. * -I--' I&k&i i i 13JSURfitiCE $&Q&&
541 i &iGE;iZ>g F;dC;z;&& pz78 SEfi FQIMTE QE{JEF@EZS zfiRp;gg)3
95/$6[&5 FtRZ9 EWI;~& ,- dbij r r 66 $i*$g ggjFtiL gg<:E'E'h SE&IICErj RQZ@ &CI@jS PROPEfiT:ES CWR?Sg&
87/Ijj/& pifizg DPL NrjRTE i: 152 gg DRVIS DzV&JQ$iEg SF MpiijpZ:!: EfZfiCH SBGE
$7/18/& piRz2 2;L @ggTg BM 12 si. :4 %kfgk%fiRgER C@dSj-#JCTI& DWS DEVE~DPMEG DF tEKPZRT BERM &RL!BRD
$7/i8/35 pL9iA DEL {GZgE 1 * 476 24 $1.55 ~[j$KEIki %Eg&yf &p ,j il" ' $Jti@&g 1-1 @ NEgIjilRi ggfi& Cfi$'sg*D
$: 12 $ySqs i L qv~'- kt UI \rtERI%G & I4FIWAGEiCET
CilRtSBGD AESEREH CEEE'ER Ob/fii/&5 KDiL COXKRCE CBTE;? 2,875 62, .* 22'37 Ffi&DKY !qu:trE. C9KSmD
8/@4/85 4,338 gz $Lil RIM B 5iBilitRN 214i PRiQW&j RgqPJRT R&
6WXh'Ei5 G%HkH IN?% PMZW 3,3% 56 $1. I INTiEP&cmC 2Efit.R GRO@ ZIi~j?~/l~ P&G';tlAR Rlh"PCRi RD.
&di,.BHJ
G%%i-iWE Ei;SiFiESS PUB p'nr. rr
@cj/I2/& g$)psg!qj RErJARCH M 7,154 6@ $1.55 iiiFF TMRH e ma i-'WRi%Kf RE, Z3iE Kilii CD. cgqi ,-,B? ,La dl
2% 556 60 $1.25 ~~~~~~~~~, mCimtD i RIC~W j i /27i&
3E2 ELK RE. CFiRLmIi KHNM GONSiRUC?IE% m.
I2ii4iti-f; &14@ 128 $1.9 kZCIB&!R~i~nDR. EE%€Z i2E> KR%AW GuluaTRUCTiDiU 325 EL& ST.
C&qifg@
i2l26I.35 ECuRlTY BRCSFIC FA. IT iz4 65 $t, 25 %l&@AR: fd@?fi$ (.PfiRgEE itdgJA&rE) 77m EL CflKFm REEL c24iw3 PRCZr'IC ~&ij~#~~ REEL::{ CD,
5! 285 68 $1.62 %ATE: %a2 LQ. i;RR&qirf ;g;t'RNfiT'IENGL &rVCL;;pgr"T
i.2/2&/& CiligjRK I$;? i F'LfiZfl 1,m 48 $i.i+& jgc~~ WL'JIN BE'JE~~S~~ mi ~fi~aiiifi~ AwmT RD. CGLW!D GRRHRb! litlTERM?iCif~!At. IIEVELOF?tW
~i mm GRAHAK I~~TI i PLm ?!L$gi 68 $ils23 Kg C&$. $2Gg&q i~TEqjqg)~'I~NfiL 3z& Sj@LS&jD
RECENT LEEZ TRaNSRCTaB Cfi2Lggfij-j J-Q3vUGRy -iggy=& -j-a pRES-&-;GT .- . Uj
P ai&rf. Pi. TE%K #?E/ SSSEE C;JTE >;.La>-'-?, rnuktgl, :\iys & h---"" 'UGi-khb i;gSED fKQj ~~e.~~ ~EgzzR ..........................................................................................................................
81*u7 Ej Ll"'.' r.:i &;,&3&z f.RWHF;% z&-s L PLGPJ 968 69 ? '1 Ji#% Cf'4iERPfilSES 1 :dyE&fiylg$gL ~NEiyIWEg CfiRLSEC.$
;~1,q~!& y++.:.: Jl,LRi'< c- ?J:A:k t'-- a& I 1 ,-. r.7~ k>d gl 598 &@ $I,& VTbj W;igQiiggyED IWC, SER PQI%TE IrE'jELi3Pt'RS '4'1 &j$'"" q,p: JJ ,rue I.$k,NAS rg$$SgjG
. ". .. e RECENT sRLEs" TWWNSfiC+NS CARLSBAD
. L. L
DRTE PRDJECT fiRfiE & RDDRESS Sf SQLO PRICE Pmmm ............................................................................................................. ,
P!/@i/84 DW' I?4i)USYRIES-&ilGG_ 119, @a0 $8, 258, 9B@ auyey: 28% PRLEIRR ili~OR; RIj %GilES AiRCRfiiir'T CWPFiNY CABLSBfiD Selier: lrFiK ummi~
2d/i5/& PPLLiRRR RRPT BiiS PK 3, 89k3 $2,36@, 5% 9uyw:
i=SRTE EL %DEGL/DEL fi3E7O LiNEfiR cQ2p CGRiSSRD Sel im 8iS;I &f@$j (gfi) 1g
I@/25/84 CARLSBQD RES CTR ?i,@@ Si,40@,8@@ BU~EF: 593 F'fiSt&. COHfiT m?L$B&D Sel kt-:
FILiPRLi PWSDllC'iS, DIV OF J's 1:iiD.
I('iii g.0
12/@6/84 54, @a8 $3,622, a35 Buyer: 28% liUf4EAFOXQ El. &.PY&EA MR?. CARLSW Sel lei.: cq&SEfiB tir'S€gjCp, GEWER $: & KDLL ?a.
Bl/la2/% 71,@@Q 43,Sv?P,@~ Buyer: 2225,45,65 CgE;f$j 'JIB9 R~~LE C2RLSBAD Seller: SiiY WRHbrJA MRPOfikTE DFFiCE PGRS ENTE,+PRiSES
?. H. N. ?KLCrHfiR
61/16/85 i8, @I@ 453lC: @a@ buyer: STR7E ST. CHfiBOT, R!JXNUilR B RIIiEWWR Sel1Er: YWEL KiFH'HFliiS CflRLSBRD
~3ma~ ~irr~mm~ WRPT aus. PK B,@@B 82,'35@,@@@ BU pi: 62!1, &81 YRRROW Dii. E., JLUUCI, r RLBER? Ei SWVfiTDRi
CRRLSBQD 41 le?': PUl.Eib%R SIXTY-SEVEN USEijCIfiTES
84/3/85 23, *?F&B S Buyw: 2745 SEFFEli50M ST. CGRLSBM t jQzES & JGD'f; pQ& RLIE
WiLLiRH g R" S#jER g$g HELEN KiCKEY
wwi'tis P~~AR .- I - am BUS. PK 32, @@ $1 f 835, @GB Buyer=:,-*
L331 FRS PZLltlkS DR. C%RLS@dD Selicr: SUIJii!IU !PC.
pRCIF:C g;sTERN HljLai$gjpQLO
&/@3/85 j2&#afi%j' B9SZ~ESf PK 1,832 4ii3,368 BU~EP: iiEIiGFiR, KENNE7i-i 8 BWO%i c- -. J/Jl p&KZ gp{, syE 3
tAflGfiA9 SeS ier: FWtDRY EXGiWE5S PQRK
wwas PRL~XYAR GIFT BUS. PK 14,925 8,342, $@@ Buyer: 288; PRLNG GR. WRLSBia SPijer: RGK iiE9i!iT'u' INC.
ARPPLE INC.
l2/&3/B5 2, 544 4274,846 Buyer: 5156 gVEj%iIBF, Glj\:Ci&qS ChRLiEfiD SE! let-: HICKS, SiX4ES L PQiKLA
SI&i@ DyJg-OPKg WRP.
pqe 0 REVISEa: F.zB 6, ?Tj& 0 -.
.*
'I
" SPREE AVsrtZLkBLE REPOST . -. - ?%RLSBRa - R8D v
THE CkPfPLiS $17 CRiRSEQD 8ES.29RM CZmR , I;Fti?Lg$@ &TE: @1/?8jfi6 15: Iijp&@s-$:*& BLBG. SF?: 46,684 - $2,846 3 BLDi3.S DFFICS SET: 46,i;w - s,t146 iAMD FIAW: iEfiSE 8fiFITE: $ ,4Q - Si.15 WNH C&E pRit;-'. A L* SIfi; 14. Bbi5, sa ?P2: Di '3 ISIBLE : GkBLEASS: D iKEK mG i ;Lm5: ELNFiiOR : QVRZL: k13iW86 CLEAMNCE: 2URI;"dl: JWHIRI2 i KL. : SPRINKLEAS: ;q$!Kg4E: 4. I/l@@ii YGED: Hii: DW4S--i;F ; E+: Q: V: p: COHNEMTS:
c$aid gi(j1BT TECH CZ~TRE
&J@!SiiA g%gI$gS, CfigLs&5Jj @qE: i !/@4/85 ID: SOD-&4@;85-E-2J&
LEE WE: 9 .65 - $i.E WMI SfiLE qrr.c. ,< *A!-. -* i ik: I@* @&g, &? BLBG. SOFT: 566 - ~,BBO
f Yt%: DIVISIELE: SiiiLEfiSE : FL0QR.S: 2 ELiEtiFiiOR : AVAIL: Ili84/$5 CLEii3@iCE: zlg:<igG : *TjqgrTUgj&: SPRINKLERS : paRxIF& YRrn: Rkii: Eggg;--& : 2s : A: 'J: p: COitlPlERTS:
EGiW F13iNX TZHbiOL9GY CEGE
&=ICE SBT: sgG - a&@@& FA% fiRW:
Dl Has; @<S: d, .- -
26@-6€J QVENI3ii ENI;I%p.S, bL%S *E, WRSBfiit DAyg: @/25/35 13: i~D-&%35E-Q74f QLDG. SQFZFT: %4 - 19,446 (JFFIEE SF-'. Jbi. 564 - 13,446 iAKi, AREk: LEffiSE %?E: $ .65 - $1.65 MMM SkiE PiiiCE: TM: 18. IJg-12. @@ TfK: DIVISifiLE: YES SLIBLrnSE: DIEEfdSiOWS: FLODRS: 2 ELEiiIATDR : &JAIL: CLWf&$tt'; zp
2ilWiN.f: JPIPJIZFTDRfCli: SP2lKiLERS: NO im-mG: 3.3mm NR[r : @It: DCIORS--I:L: Dl!: Ll: v: F': tfllMMEMfS:
5565 CIVEWX ENCINkS, C!%LSi!AD DATE: @6/@7/& :Ti: iD'i!-RB@5-C-?%7 BiEE. SQFf: 2,B@@ - p5,!2f OFFICE S@;: &a@@ - 5,131 LkND FIRER: LE&E -, -- &TE: $ .75 GR&S sq& PgfCE: Tl9: I fvt: DIVISIBLE: SUBLERSE: YES OiMERNSf DRfS: iL002S: ELNXDli : kVk!i: @8/$7ibE; CLEfi%21;i ; ZtlEdiXG: SriNIMRiiSL : SPRi WKLERG: PkRKING: 'ME! : Rkii: DCiDRS--Gi: DH: A: 'j: g. iif%EfiiTS:
)qjCIFIC r;OF#@;&TE C&?ER
L€&E FWE: $ .a5 NMM CJkG p2ICE: wi: i@. 82
pgD&: g EiEVGTDR: RVIASL: i2t'Bli'BS cLEgg)g-: !y
ZDEi WG : J%"R iQL : SPRiKiLERS: YES PRRKING: 3.5/!@@8 Y!m : WIL: 3QDE--GL : Y DH : 9; I??&$ v: ;n/4@ F: 3
%35 g 58'39 gi#EB:Dk E$!CPN@,f; gijs A & it, C$&Sg@ DflYE: 12/18/65 jj: fDD-$@&j-&iz3: BLOG. SOGIF7: 2!&2J@ - 33,532 QFFICE BFf; 28,239 - 39,9>p LPN0 Raw:
TYPE : jjiv:Si&i: YES SUEL-i"- i thdz ; DiEEEsiaNS:
C$&: M Cg@O?fiTE M# jER
-*.e " 7.p' 2$@,35,4$,55,65,75 Crjtr(;l?icI WFi RGdiE, CRiiL$UD DRT& i2i2TiiiS in: %&fi@gd-k-&&l IAiiJG. 52rr; 8,115 - 17,rjm DFFICE sifj; &::z - !7,61@ IF" REER: 72QL-f ;8a;:zE: f ili: &%E .$ATE: $'.57 - % .5'i 7ypg : DIVISIBLE: ,L&tHa,t : Fm6: ELNil70Fi: IIVAIL: 12/24/& r;iEgR&,gE;
ZDNIMG: JfiFJITORiAL: SPRIMKLERS: PRFdiNG: . YA#: 'r 77 iiFiiL: IrQDRG-kx: 0s: A: V: p.
CWimTS :
CfiWiCi CGRFjDRiifE CENTEA
ifi. &3 -- r
DTirlENSiDNS: ciir; --9-
2% 35 55 iS,?5,85 CRrrliNg ~3% iitrB~E, biD61,Q,4 5,~ CQKS~ &qE: Qn4;ss 48: IgD-M@5-E-:!b;
ijk& BfT: Q,1!5 - &,@@g LAND CI4tA: %%% &h. 585: 8, ils - &,@I@ Si% RQ'iE: $ .S7 - $ .59 8x4 I- 2 ,ALE. 713% 1Q. @a 59s 5rjrr. ,
?$E: FigQz;: 2 EiFqfiTDg: &qlL: G-EkRg&E: i4:
ZZHI&G: 9ANI Ti14 I E : SjqIkgLEfiS: yEiJ ?2>siaKiPIS: 5.4fi8Gii YXQ: RAIL: ~~~~$-~~ : 2s : 9: &@g v: ;77;42Q 7: 3
COb!P?Eli!?S:
@ T qEgl- - .- SG8LiEASE: A' oiuh!S: D IV i: s 1 BLE: yg
0
! . .-- I SPACE A‘daIiaahE iiEPORT R&>I$ES: FEE 6, 1956 Faze
CRRLSBRD - F78D
rn ..
.-~ *.
i@LL #J,i’i ai hEff G€;ENTER
22@ ZJgZ c;ittiy i&Sfi @&E 3,g7 CfigLififiD gfiy& ;&yf,&5 13; j&&&~-.pggj :3zrc;c ~gq: ~,pps - ;,Ai LRWG RRER: ai&. SET: 1,225 - i,7h ...+ tim 2m: Q -52 - 4 .65 GROSS SFL$ PRICE: I isi: i ypt : ng$j$ ; rri3XQR : AVAIL: CiEggJHcE:
ZBWI$&i;: Tp$;TQg;&k: SPRlEKLERS : gqFiKI&: sl4rw : %4IL: 3QQ&-Zi 2 UH: k: V: p: ~~~;@jT;:
K&k bUSZ[qXSS CEN-j-22
6355 EL CA%ii\iO @kl H, CMLSEliij
DIlfiSi&E: ypj !:iiiii@SE: DIZgHSiQNS: ... --
I .r r-
&j-fE: 1.- &Li/& ”‘.” 13: ~~z-fi$j~+-ii~~f ’&&. SQF?: uFF;cz sgz: ;T:$i LCND QRER:
-3 ; y&: I DI’v’iS:&E: SiJBLEASE: 2)j &C@sQES:
IL fi QgRS: zLp4fiyG.q : g3&;L: @g;ifjs5 r: AWRHC3it.f; e__ ’r’ --I I cT,ppj”~‘” . 7Q)g?46: L~&xT~g~;ii ; dr). 111 E&: %a : mi: DQ!j2S--C;i : z3 : $7: if: .I E&bi~RT~ :
XD11 COiiiPiEflE CENTER fi7 CFIfiLSBfiD @;SEfifii;;Fi CENTER 2253, :a 55 FmRDfiY AVE. CFlliiSBXl 3c; @I/E4/65 18: Igjj-&@s-E-1355
b % ‘’-p.” ,-.-.. Cf c a& P.;:PC:E: f ihl:
PQRKIEG:
p: 297- t: $ .a2 bdW2
:I.
pa--
LRm 2RECi: BLDG. S6F‘i: :,ZZI - !,351 WEE SIFT: Z,53@ - 3,351 LESE z?fiE: .j; .65 - %l.lS GZJSS $As ;lRJ!-E: 114: J. ai d.5@ TYPE: DIVISIBLE: YE5 pgLE&cJ : -k!aiDi%: @+AI i : CLEFIAQr?lCE: 16’ SgiQ??( iE,q$: Pg4KI);6: 3*4/1@@@ FiOlj%: ELEi’FltDii : iob! i NG : J&WDRIAL: L L>’% Yka: %X: DMRS--&: y D.2: A: v: P: CDWKEtiTS:
WRSSRI, RE‘SERRCH CENTER %%E I 2?&V82/52/238/% FARFzDN AVE. CfiRLSbiiD DATE: @i/24/& 10: lDjj-*8@5-+14q
c rq-i - c..
ul#F’ip.-
Lam Akm: GFtSE Rk’iE: 3; .78 - $1.85 M“ c&E pgzCE; I ili: TYPE : DIVISIBLE: DIr?EflsIQt;S: FLiiiiii5: ELEVATOR: AVliIL: 12/@I/El c-@R)qqcE: 23’
PRRA 1 WG : ZDNI l46 : SF1NITDRi A: stniNULETiS: Y‘ES Y(iB : mi: DWtiS-&: DH: 9: 1 jj: 277/48@ p: 3
CilMEMTS:
I@. ID-14. tire -- BLDG. SOFT: 9,@M - t;S,43i f BLES OFFiCE SBFT: ?,@# - &,43!
-?<a‘
PROMAR TECH CENTRE i 24365 IHFSKifi pLL CARSBrn SATE: @3/‘25/85 ID: ig0-9iiQ5-:-31@$ BL~E. SQF’I: JTdJa - s,3a EFFIE ST: 3,m - ia,m LCM EiffEA: LEaE R#TE: 8 .59 NMi SkS FSa!X: TiA: :a. 16 TYPE: FLWIRS; 2ilN i M6: 3fiNZTi)RiRL : SPRIMKtiRS: YES F‘RRKING: 3. Il,la@@ YW: RRL: ti 9DORS--Eil: y pi: y 3: iiBG.7 v: ZBb P: 5 CQMMEPJTS:
THE CkWUS AT CARLSBRlr kES€MCki CENTER 5562 %4 5566 Lii PLKE CT. CFIRLSBW DATE: 12/18/85 ID: iQSfi@rS5-li-5545
BIMENSICkNS! GLEWWE: 15’ SUBLEflSE : HvRrL; u3m4m OIVISiBE: YES ELN2TOR :
BL~. sxd-: 46,6a4 - 62,d 3 BLILBGS OFFiCE SFT: 4G9684 LRMD RREF1: tEffiE RCITE: 8 .98 - 31.15 NNPJ SkLE PRICE: TIk: 14. aO-16. m TYPE: mvrsiu: YES SUBL€RSE: Nil DIMaVSIaNS: hW%: ELEVfiTOR: MS NiiIL: 1@/01/% CiEkRANCE: iW-22 ZON1NG: JMITDRIAF: SPRINKLms: YES PRRKIE: 4.1/1&@ YFIRD: RFIIL: mms--Gi: 18 DH: k: v: 277/466 P: CDWMENTS:
CML~~ RESERRCH CENTER 327 LQNMU CT.& WRLSEfiiU DAE: 11/8/85 ID: iO&kN&E-E66S BiDG. SOFT: 2~,97Sr OFFiCE BFT: i?3?3?6 LRrn RREFI: 1.77 QCRSS LEASE RRTE: 8 .@ N” SWE PRICE: m: RPG: DIVISIBLE: MD SUBLrnSE: YES D i KNSP 13%: FLUORS: 1 LEVATOR: AVU: wzwaz CLrn%NCE: !4’ Z!XINE: Pbl JANlfORIR? : SPRINKLERS: YES P9RKiNT;: 3.&iG@@ Ylifdj: HIL: hrl BliORS--&: f BH: k: 8G8 v: 277/488 P: 3 CONNLRS!
" e
RE;,,iI SED ; FsB i;? ; ?jg& ?age
e ,:4 -
. .A -
': '- a %PRCE QYFSZ.E#XXE REPORT
' CQRLSBQD - RRB
Cf#L%EF1T, RESEAAM ENER
CE &J? i%dnfiu C5.t cfiRc%fiD DgTE: li/eQ/& ID: i3D-g@@5+-3457 QFF!C:S an: 7,&@ im! FIR&: -- - BLDG. SET: ib,aas(
i YPk: DiVISfBLE: SUBLEPSE: Di%E&SIlJWS : RZORS: &:!iNA71SFi : AV2IL: liiZ&f85 C-'iEliFjjCE : ZljN 2% : J&pJ17pRIgi : SpRiWKi.:25: YES PARKING: %lE: RkX: DT:lJRS--Tji: gs: 3: v; 224 P:
;gta#fjg QGKf :EM&jQLG!$u' ?fig<
LECISE -. ,.. ,. WE: sgiE PgfC;: i li):
CS*#&FS;
i13ggxT4,g5, 33 pgLDgj2 DfiKS EV'p/ & 63@-5g p&n;<fiR O$qKS cy,, ELD5 R-F, CWRCSBfiD $jyE: @fi$&?& 12: Ic&R$33-E-65g4 BL3b. gp;: 6,257 - 6.2, I& QFFlCz sjt?Fy: d,&7 - 63,lai LggD GREG:
Tf7E; Fi'@ BIVISIE(1E: i(E$ SijjWSE f jji)j;pJsI@lJs;
]&&& JB&lTORiRL: giR&i$&& yg; P&KI)& ;.s;i$@ yz.;j : Wi: WD@--ij.L : 23 : A: l,Z&j !): pgp35 r;: 3
ST ad31 - PrilESTLY DR., CRRLSilEJ . , LA/&]& I 5 ..- 12: :~&fi&~~-~-~g~.& BLp A. SOFT: z,m - a$87f Er'giCZ $gFy: &,@a - 2B$fS QREA: 2.a pCRE;
F!JD3SlS: 2 ZLE'J;j-Gg : MZL: 83/$&/$5 cLEfia&cE: 52'
ZijM%: PP~ '3% iTDRIRi : SpgEgK:EgS; yt^f Pii!?XZi;ING: 3.63il@@ Y%D: kMi: ti0 DDORS--6L: 5 m: jq: q&$J v: 277]4ti;Q p: 3
i2* gg --.- sfis PkICE: $&'@j s; I irl:
EFE'wiTCR; RV' Ai t i iritflifdltkcr lfi'-a
LEASE EfiTE: $ .@ - $ .T8 ghir(
,-. - Ti ii ..c ~ ;gz.qs: 26
WLliSBXl 7m CEEER
le. 03 -7 s%G gIRIC& i A: iERSE RfiYEE: ppr. $ Jf jJy i 7 sdv
gPF*P. 0" . E$gi$-fiCJ: j I ai laS: DiidlfI"' f, . -- 7 &LA. yk= L.
Wi$$@!TS:
EXHIBIT D e
:
CITY OF CaRLSBAD
MAJOR 1NDUS"IUAL ACREAGE
#/Acres #/Acres #/Acres Developed Developing Future
CARISBAD RESEARCH
Phases I and I1 170
Phases I11 and IV 110 Phase V Approx.
(Total acreage 560 gross/approx. 400 net)
(90% built out)
120
PALOMAR AIRPORT BUSIISESS PARR 300
KAISER/CARLSBAD OAKS BUSINESS CENTER
Phase I 77
Phase I1 (option on lad) 77 (Have purchased Carlsbad Raceway) 140
coMEdi[JNIm ~s~~~~/CARLsElAD AIXPORT BUsINE!SS
Cm (South side of airport)
Phase I Approx.
(Total acreage 333 gross/222 net) 75 Approx.
147
HUNTINXCON EEACEi DEVELOPMENT 110
FARADAY BUSINESS PARK 85 (Total acreage 203 gross/85 net)
TolKcs 555 372 484
TOTQL: 1,q I / A-3
< i 0 0
it
9
Palomar Airport Business Park
March 4, 1986
Mr. Richard Chick
City of Carlsbad
1200 Elm Avenue Carlsbad, California 92008
Dear Mr. Chick:
Daum Johnstown's evaluation of the existing commercial market is
fairly accurate, but covers mostly pure office rentals of $1.40 to
$1.65 sq.ft. Buildings A & B are single tenant buildings with the
same quality T.I. for .86C.
Leasing vs Buying
Leasing to small or large companies over 15,000 sq.ft. is a dying
business. The following is a list of some of the Build-to-Suit
sales we have made in the past four years.
1) Linear Corporation 34,000
2) Cal-Omega 44,700
3) World Communications 22,000
4) Festin Foods 34,600
5) Pacific Recorders 66,OO
6) La Costa Products 15,600
7) Precision Litho - 12,160
8) Killion Industries 42,000
9) California Barnett 15,260
10) Flotron 22,000
11) Tempo Research 18,000
Total 325,320 square feet
The subject building is offered with a land price of $8.00/sq.ft.,
todays land prices in the Park are listed at $8.50 to $9,50/sq,ft. with sales closed at $8.50 to $12.00/sq.ft. in 1985.
A building with $300,000 in improvements should be held for seven
to ten years in order to realize its maximum appreciation. However,
I have listed the following sales and re-sales below to give you a
real picture of appreciation.
1120 SYCAMORE AVENUE, SUITE A VISTA, CALIFORNIA 92083 (619) 438-2552
* - 4 Mr. Richard Chick e 0 fl 4'' City of Carlsbad March 4, 1986
Page 2 *
Sold Re-Sold
Multi-tenant #4 & 5 - 80,000 sq.ft. 1978 $1,808,000 1985 $3,300,
Anthony Pools - 78,000 sq.ft. 1978 $1,310,000 1981 $3,250
Multi-tenant #9 &lo - 64,000 sq.ft. 1980 $1,375,000 1982 $1,967
Multi-tenant #3 - 44,000 sq.ft. 1979 $ 845,000 1984 $1,950
Now, in view of the above, I must disagree with Daum and your
No. 1 in the Nation, and Palomar Airport Business Park is still one
of the premier locations in Sout'iieri? California, snd skill Cittiiiailds
and receives the highest selling ratios of any location in the Count
Buildings in our Park have been selling for an 8.5% Cap Rate vs a
10% Cap Rate throughout San Diego and Orange County.
The annual increase in the building value during 1976 thru 1980 hit
18% per year, 1981thru 1985 the average increase was still 9.2% inspite of the inflation rate of only 3.5% to 4.0%.
We will be happy to sell the building at 2075 Las Palmas Drive for
$1,350,000 and guarantee the City that we will re-purchase that same building for $1,350,000 if the market does not show a greater
value. We will make this guarantee if the City will also agree to
give us 50% of any profit made over the sales price, less any cost
of selling.
Based on my experience and knowledge, I feel that only a complete
collapse of our economy can prevent the value of our building from
a minimum increase of 20% in value over the next five years.
If I can be of any further assistance to the City of Carlsbad please
do not hesitate to call my office.
auditors/accountants, "Southern California Real Estate" is still
Very truly yo~rs,
PALOMAR AIRPORT BUSINESS PARK 42
BERNARD W. GILMORE
Vice President
BWGr IS