The Californer - Harbor Associates Acquires 211,000-SF Suburban San Diego Office Campus

Trending...

SEAL BEACH, Calif. - Californer -- Harbor Associates, LLC ("Harbor") in a joint venture with F&F Capital Group ("F&F") has acquired Highlands Corporate Center, a Class A 211,000-square-foot, five-building multi-tenant office campus in San Diego, CA.

Highlands Corporate Center is located at 12730-1278 High Bluff Drive in Del Mar Heights, a coastal community, 20 miles north of downtown San Diego. The approximately 90% leased campus was extensively renovated over the last several years by the seller to include new lobby finishes, a new conference center, fitness facilities, tenant lounge and outdoor pavilion. Additionally, the property has EV charging stations and private balconies on several of the upper floor tenant suites.

The asset has performed very well in recent years with more than 40 new leases and renewals signed since 2021. Leasing activity can be attributed, among other things to its location across the street from One Paseo, the 23-acre mixed use retail, residential and office development, according to Harbor Principal Rich McEvoy.

"Office performance today is bifurcated with the best locations and buildings seeing strong tenant demand and Highlands is a perfect example," McEvoy said. "The project's walkable location to more than 40 restaurants at One Paseo is a game changer and one of the reasons that 150,000 square feet of leasing activity has occurred over the past three years.

More on The Californer

"While the office capital market conditions remain choppy, prices are beginning to reset and Harbor is finding compelling opportunities to purchase quality assets with tremendous upside in high barrier to entry markets," added Harbor Principal Justin Loiacono.

"F&F Capital is thrilled to be expanding our relationship with Harbor Associates and growing our nationwide multi-billion dollar real estate portfolio by selectively adding office properties throughout this cycle," said CEO and founder Jeff Frieden

Eastdil Secured's Adam Edwards, Justin Shepherd and Bailey Bland advised the seller.

About Harbor: Harbor Associates, LLC (http://www.harborassociates.com) is a value-add operating platform focused on acquiring and repositioning under-performing commercial real estate assets throughout Southern California. Harbor has been involved in the renovation, repositioning and development of 40 commercial projects totaling over 4.0 million square feet with a portfolio value in excess of $1.0B. The company is a joint venture with The Bascom Group, LLC.