Shoreham Place LLC has sold Governor Plaza, a small-tenant office building in San Diego’s Governor Park community, to Performance Wealth for $10.8 million. The 38,617-square-foot, two-story, multi-tenant building is considered to be a jewel-box property in the prestigious Golden Triangle area that includes the La Jolla UTC market.
Rick Reeder and Brad Tecca with Cushman & Wakefield’s Capital Markets services in San Diego represented the seller. Bill Cavanaugh and Mike Novkov of the same local office also performed market advisory in the sale and have been retained by the new owner to continue leasing services for the property.
Reeder, an executive managing director, said Governor Plaza was 93.5 percent leased at the time of sale to “a highly diversified tenancy — consisting entirely of sub-5,000-square-foot users — which combines with a well-balanced rollover profile to provide the buyer with secured income and cash-flow protection.”
Located at 5151 Shoreham Place, Governor Plaza is situated on 2.4 acres at the southwest quadrant of Interstate 805 and Governor Dr. It’s also close to surrounding business markets, residential communities and a wealth of dining, shopping, and entertainment.
Originally developed in 1984, Governor Plaza underwent significant renovations in 2013 and offers outdoor seating and meeting areas in the courtyard, extensive window lines, flexible floor plates, tenant balconies, natural light, resort-style restrooms, and shower facilities. The courtyard at the building’s center features a tranquil water feature and drought-tolerant Southern California landscaping. Additionally, the property offers recently renovated common areas and abundant parking.
“Leasing opportunities are particularly valuable in the boutique Governor Park submarket, which boasts robust demand for office space, single-digit vacancy, proximity to UTC, and surging rental rates,” Reeder adds.