Commercial development surges in Oceanside with sizable projects

By: THOR KAMBAN BIBERMAN, The San Diego Daily Transcript

Monday, April 6, 2015

 

The area in and around the Ocean Ranch Business Park in Oceanside is about to experience a surge of new development during the next two years. 

Tracey Bohlen, Oceanside’s economic development manager, cited some major new developments and expansions within the Ocean Ranch and the Pacific Coast business parks. 

The largest industrial project in Oceanside is FedEx's (NYSE: FDX) planned 306,000-square-foot distribution center under construction at Avenida del Oro and Old Grove Road, within Monarch Investment's 122-acre Pacific Coast Business Park. 

"FedEx is on 38 acres. It's a large chunk of land," Bohlen said. "That one project alone is expected to generate 500 jobs."

The FedEx development, adjacent to Ocean Ranch, is expected to be finished next year. 

Newport Beach-based McDonald Property Group has teamed up with Chicago-based First Industrial Realty Trust (NYSE: FR) to develop La Pacifica II, a three-building, 237,275-square-foot speculative industrial complex in Ocean Ranch that is entitled. 

The 15.8-acre site was purchased by the McDonald/First Industrial joint venture for $9.63 million from Cruzan last September. 

McDonald Property founder Bruce McDonald said his speculative project should succeed, as large industrial spaces aren't available. 

"This is the first spec. industrial development in the market in six years," McDonald added. 

The Coca-Cola Bottling Co. (Nasdaq: COKE) is planning a nearly 200,000-square-foot addition adjacent to its 90,000-square-foot facility in Ocean Ranch. The plan is fully entitled. 

Genentech (NYSE: DNA), which took over the 500,000-square-foot Biogen Idec facility in Ocean Ranch in the middle of the last decade, is in the process of spending $134 million after relocating some office and conference functions offsite in order to free up the space for additional manufacturing. 

MagnaFlow, an automobile exhaust systems maker, has plans to augment its 200,000-square-foot facility by an additional 92,000 square feet. The Ocean Ranch project has also gained its needed entitlements. 

Bohlen noted the 83,000-square-foot industrial facility for Olli Salameria, a cold cuts packager, is almost complete in Ocean Ranch.
 
Oceanside, like other North County cities has numerous brew pubs and beer tasting rooms. One of these is Urge Brewery, a gastropub expanding into a 7,730-square-foot space at 2002 South Coast Highway that had been an Adventure 16 store. 

The city of Oceanside is planning 460-acre El Corazon, the former sand mining site at the heart of the city where approximately 212 acres are to be devoted to parks and recreational uses, including 22 completed athletic fields that serve as a magnet for all kinds of sports. 

The athletic fields were co-developed by Soccer Field of Dreams and Sudberry Properties -- which is also expected to develop housing and retail at El Corazon. 

A 1,500-foot senior center was built nearby, as part of the 34 acres intended for civic use. 

Proposed uses for El Corazon have been in flux over the years, including 164 acres of open space. 

The 30-acre commercial portion of the remaining property was conceived as hotel and retail; Bohlen said the Stirling Development LLC-owned property may end up as residential. 

In one part of the master plan -- located at Oceanside Boulevard and El Camino Real -- Foothill Ranch, Calif.-based Stirling has 80 for-sale condominiums in the works, 50 of which have been set aside for live/work lofts. 

Bohlen said these types of uses may happen in other portions of El Corazon. 

Bohlen said Oceanside is still hoping to develop the waterfront hotel, a project conceived nearly two decades ago. 

A development of SD Malkin, the project calls for a 289-room hotel, a 47-room boutique hotel, 48 timeshares, 18,500 square feet of visitor-serving commercial and 6,000 square feet of conference rooms. 

While this project is listed as being entitled, litigation has been filed to stop it. 

"We were hit with a lawsuit by [attorney] Cory Briggs last fall. He claimed we didn't have the proper notices for the project, which we did," Bohlen said, adding that a hearing on the matter has been scheduled for April 10 in the North County Court in Vista. "This project is otherwise all ready to go." 

While nearly all the other planned Oceanside hotels are less than 150 rooms, an exception is the proposed Inns at Buena Vista Creek, which would have 426 hotel rooms along with 10,000 square feet of retail off Jefferson Avenue, north of the Carlsbad's Plaza Camino Real shopping center. 

The Inns as proposed would have three Hilton brands including Embassy Suites, Homewood Suites and Hampton Inn. Jenna Development of Signal Hill, Calif. would be the developer. 

The last large downtown Oceanside area in slated for development is on what was known as CityMark -- five blocks west and east of the railroad tracks between Seagaze and Civic Center drives. 

Plans ultimately call for 231 residential units, and 38,000 square feet of commercial/retail. 

The CityMark property is owned by GF Real Estate Group, an entity of the Southern Ute Tribe of Colorado, which developed a 150-room SpringHill Suites on a portion of the land. 

Next up are 66 apartments and 9,000 square feet of retail near the junction of Mission Avenue and Cleveland Street.
 
 
 
DISCLAIMER: This blog/article has been curated from an alternate source and is designed for informational purposes to highlight the commercial real estate market. It solely represents the opinion of the specific blogger/author and does not necessarily represent the opinion of Pacific Coast Commercial. www.PacificCoastCommercial.com
 
 
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