Stivers Investment Company Offers Irvine Value-Add Flex Office Asset up for Sale with Asking Price of Nearly $14MM

Stivers Investment Company, Pasadena, Irvine, NAI Capital, 8 Hughes

By Jon Peterson

These days, it seems that the market is only interested in fully leased properties with credit-worthy tenants. Yet, Pasadena-based Stivers Investment Company is looking to test that hypothesis by bringing up for sale a 41,563-square-foot flex office property in Irvine located at 8 Hughes. The asking price that Stivers is hoping to achieve is $13.9 million or $334 per square foot, according to the property’s offering document.

Stivers has owned the property since 2001, according to public records. For the marketing of the asset, the company has hired the Southern California office of NAI Capital to be the listing agent on the sale of the property. Those working on the marketing efforts include J.R. Williamson, a senior vice president in the firm’s Irvine office, and R. Scott Martin, executive vice president from NAI’s Pasadena office.

According to Williamson, the team expects two types of buyers to emerge who may be interested in the property. “It’s our opinion that this could be either an investment firm or an owner/user that could acquire the asset,” said Williamson when contacted for this story.

The offering documents show that the property is roughly 37 percent occupied. The tenant in the property at the moment is Brightview, a Fortune 500 company and the nation’s leading commercial landscape company. This tenant currently occupies 15,000 square in the property. There remaining 26,000 square feet is currently vacant. 

The vacancy, however, could provide an opportunity for the right buyer. This makes the property a value-add investment that is underperforming, and the seller may be motivated to sell because it has a very low-cost structure since it acquired the asset over twenty years ago. The property could be leased with new tenants and given a fresh start.

The property is a two-story flex building. The vacant space in the property is on the second floor and could be used by either single or multiple tenants because it offers flexible floor plan layouts. 

The building was first developed in 2000, and the building sits on a site that is nearly 2.4 acres. In addition, the property offers 174 parking spaces.

The neighborhood surrounding the building is primarily commercial with office properties and a good amount of retail and light industrial assets. It is also very close to residential neighborhoods with easy access to US Highways 5 and 405.