Controversial Sunroad Tower signs first
tenant.
by Randolph, Ned
The Sunroad Centrum office tower in Kearny Mesa--which had its
grand opening delayed by numerous stop work orders in 2006 and 2007 due
to federal aviation officials' concerns about its height--has
signed its first tenant.
The San Diego law firm of Marks, Golia & Finch LLP leased the
entire ninth floor, which takes up 25,000 square feet of the Class A
building near Highway 163 in Kearny Mesa, according to a news release
distributed Aug. 5.
Terms of the lease have not been disclosed, although because of the
softening office real estate market, it likely included substantial
incentives to move a tenant into the 11-story building, which has been
empty since its June 1 completion.
This has been a difficult period for the San Diego office market,
which has been impacted by the downturn in the housing market and
related industries.
Office vacancies rose to 14.9 percent in the quarter ending June
30, its highest level in more than a decade, according to the Colliers
International Knowledge Report.
Nonetheless, Mark Wayne, a Cushman & Wakefield Inc. agent
marketing Sunroad Centrum, says the building has gotten many looks from
prospective tenants.
"They're seeing the value of a brand-new Class A office
building. All the buildings in the area are a little tired," he
said.
Marks, Golia & Finch, which specializes in construction and
related labor and employment practices, says it was attracted to Sunroad
because of its central location and accessibility for clients.
"Sunroad Centrum is central to the many business districts
throughout the county and the area is far less congested or burdensome
to reach than downtown, UTC or Carmel Valley locations," said Jason
Thornton, a partner with Marks, Golia & Finch, which has 27
attorneys and plans to expand.
CB Richard Ellis represented the tenant in the transaction.
Located near Montgomery Field, the 275,000-square-foot tower had to
be lowered by about 20 feet to 160 feet based on Federal Aviation
Administration safety concerns.
"We're very, very pleased with the activity in that
project," said Wayne. "We're talking to several groups
that could take us to 100 percent occupancy by the end of the
summer."
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