Orange County’s office market is seeing increased leasing activity, and recent property listings in the region are showing proof of that. One such property is a fully leased office and production facility in Anaheim, which has hit the market with an asking price of $13 million, or approximately $323 per square foot. According to the listing by Voit Real Estate Partners, the 40,144 square-foot office space is being offered as a lease-back opportunity, with the current owner occupying the space for the next ten years.
Located at 4305 E. La Palma, the property reaches two stories and offers 15,041 square-feet of office space and 25,103 square feet of production space. Additionally, the building features 144 parking spaces and was last renovated in 2018.
The asset is currently owned by the Inland Group. Founded in 1984, the production company offers a variety of inhouse services, including digital pre-press, film output, printing, quality control, binding and fulfillment services. The company’s client list includes AAA, Disneyland, First Team Real Estate, Fender Guitar, Trader Joes, UCI, Amada America and more.
“Inland group was founded in 1984 and after 37 years in business has reinvented itself several times through the decades due to market changes and customer demands. Managing growth over the years by adding direct mail and the newest acquisition of Wide Format Display Graphics has helped through difficult times like the Great Recession and the Pandemic. The types and diversity of accounts has a lot to do with our success,” the offering document states.
The company has recently signed a ten-year lease at the property with three percent annual increases. As of 2021, the annual net operating income of the property is $481,768, but in ten years is expected to increase to $628,545, according to Voit Real Estate Partners.
Located in Anaheim, the property is just a short drive from a variety of popular Orange County attractions, including Disneyland and the Anaheim Convention Center. The property also is easily accessible by State Roads 91, 57 and 55.
In general, the Orange County office market has started to see improvements, with more tenants taking up space there. According to a third quarter office market report from CBRE, vacancy rates decreased for the first time since the fourth quarter of 2020. While still relatively high at 12.3 percent, vacancy has decreased 70 basis points since the previous quarter. However, in North Orange County, vacancy remains the lowest at 6.4 percent. At the same time, rental rates in North Orange County have increased by $0.09 quarter-over-quarter to $2.63 per square foot.
Voit Real Estate Partners did not respond to a request for comment.