Five Point Holdings wants to gain approval for 700,000 square feet of industrial buildings in Irvine’s Great Park Neighborhoods, then sell the sites for an estimated $215 million.
The Irvine-based developer has filed plans to build five industrial buildings at two sites on 38 acres of land in the 2,100-acre neighborhoods it controls around the city’s Great Park, the Orange County Business Journal reported.
If approved, the industrial projects would be the largest in Irvine, and among the biggest in South OC in more than a decade.
Plans call for four buildings containing 600,000 square feet of office and light manufacturing on 31.9 acres of former farmland at the southeast corner of Bake Parkway and the 5 Freeway.
They also call for a 133,300-square-foot warehouse with 15,700 square feet for light manufacturing and 10,000 square feet of offices on 6 acres of land at the southeast corner of Alton Parkway and Muirlands Boulevard.
FivePoint is spearheading the approval for the larger site, while an affiliate of Reno-based Dermody Properties is working to approve the smaller project
In an October earnings call, FivePoint CEO Dan Hedigan said the firm is closing deals to sell both sites to industrial developers by “the end of the year.” The land price and its potential buyers were undisclosed.
The projects could bring in more than $200 million. FivePoint sold another 42-acre parcel early this year to Irvine-based TGS Management for $240 million.
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If the approved sites sold near the price of the TGS deal, FivePoint could expect around $215 million, according to the Business Journal. Several industrial developers have put in bids, unidentified sources told the newspaper. CBRE Group holds the listing.
The sale of the two parcels would close out the first round of commercial land offerings in Great Park Neighborhoods, and launch the sale of another 100 acres for commercial use.
— Dana Bartholomew