With 2011 coming to a close, the Commercial Real Estate Market in San Diego County has clearly been a “mixed bag” this year with stronger activity earlier in the year, and a returning to a “watch and see” mentality as we have reached the end. Thankfully, we live in a region of the Country that has outperformed other major U.S. markets, and the short term view looking forward is still much more positive compared to others. As the employment base starts to show signs of recovery, and consumer confidence picks up, positive trends in the Commercial Real Estate industry will be a reality, and we assume that to be sooner rather than later. (Always better to view the glass as half FULL, in my humble opinion).
The investment activity in San Diego County real estate from the Institutional players has been the brightest segment of the market. Well over $700 Million dollars in acquisitions was placed in the County this year, with several more Investors continuing to stay focused on our market. Additionally, the majority of all those old Mervyns, Circuit City and Linens ‘N Things boxes have now all been absorbed or spoken for by other major retailers taking advantage of a great time to expand in San Diego.
As for our specific 92127 market, the year has seen the growth of Phase II to the 4S Ranch Village, bringing Fresh & Easy, Eyelux Optometry, T-Mobile, and soon to open Flippin’ Pizza, Kumon Learning Center and Sport Clips. 4Paws Animal Hospital will be expanding into the Cleaners old location, and the Cleaners has relocated and re-opened next to Fresh & Easy. The 4S Ranch Health Center recently started construction, which will bring the addition of several medical tenants to the neighborhood including Rady’s Children’s Physicians Management Services and Arch Health Partners. Look for this project to open in late summer, early fall 2012. In Del Sur, significant grading operations are in place for their continued community expansion, but most important will be the widening of Camino Del Sur, which should be complete later in 2012 as well.
If ever you have any Commercial Real Estate questions, inquiries or ideas for our Flocke & Avoyer Team to pursue for our community, please feel free to drop us a note at jstill@flockeavoyer.com or dsilverman@flockeavoyer.com. Happy Holidays and may 2012 be a healthy, safe and prosperous New Year for all.
