Cushman & Wakefield announced that it has negotiated the lease of a prominent 25,328 square-foot 405 Freeway-fronted building for Dr. Boyd’s Pet Resort Orange County located at 8645 Research Drive. Cushman & Wakefield’s Don Yahn, Brett Swartzbaugh and Brian Booth represented the landlord, Three Crowns Properties LLC, in the transaction.
Dr. Boyd’s Pet Resort, a 24-hour pet boarding and veterinary care center, is set to open this month. This premier Irvine Spectrum property is located adjacent to the Irvine Company’s new retail center Los Olivos Marketplace, which is currently under construction and anticipated to open in Spring of 2016.
“This property represents a rare opportunity to establish Dr. Boyd’s Pet Resort in a building visible to nearly a half a million vehicles per day, and also to be located at the shared entrance to one of the Irvine Company’s premier retail centers,” said Cushman & Wakefield Executive Director Don Yahn, who represented the landlord. “Although the property is a flex/R&D building, the fact that it has prominent freeway visibility and access generally commands a higher rent than a non-freeway-fronted property.”
Earlier in the year, Yahn’s team negotiated two freeway-fronted leases of 30,000 square feet and 10,000 square feet on Research Drive at similar premium rent levels. In addition to the lease negotiation, Yahn’s team was required to separately negotiate special use approvals with the Irvine Company to allow Dr. Boyd’s Pet Resort’s use in an industrial zoned area.
According to Cushman & Wakefield’s Research Group, the Irvine Spectrum flex/R&D market has an overall vacancy rate of 3.5%, representing a significant year-over-year decline from 6.4%. The current vacancy is also considerably lower than the county-wide vacancy rate of 6.8%. The tightening market has pushed average asking rents up 7.5% over the last year.
Dr. Boyd’s Pet Resort was represented by Eric Warfield of South Bay CRE.