Harbor Associates completes renovation at Bungalows Del Mar Office in Del Mar, California
Harbor Associates has reintroduced a 39,537-square-foot garden-style office building to the San Diego submarket of Del Mar as the Bungalows Del Mar Office, after completing a major USD4 million renovation.
Harbor, in joint venture with the Bascom Group, acquired the Del Mar office property located at 2010 Jimmy Durante Boulevard in 2018 with the plan of repositioning the asset to appeal to a broader tenant base. Improvements included a complete exterior redesign and new creative office suites with exposed vaulted ceilings, polished aluminium ducting, skylights and operable windows. To leverage the building’s location less than one mile from the beach and the Village of Del Mar, Harbor upgraded the expansive outdoor space and patio areas to create “outdoor meeting rooms” and installed a locker room with showers, bicycle and surfboard storage and electric car chargers.
“While most national and Del Mar office space for rent leasing has ground to a standstill this year due to the pandemic and work from home orders, the office leasing interest and activity at the Bungalows Del Mar Office has been incredible,” says Harbor Principal Justin Loiacono. “Even before renovations were complete, we leased 25 percent of the rentable space to tenants in the health care, medical, financial services and technology sectors with leases out to similar tenants for another 10,000 square feet. We are confident in our ability to stabilise the building by the first quarter of 2021.”
The building’s location, design and functionality in coastal Del Mar have contributed to the leasing success during the pandemic, according to Harbor Principal Rich McEvoy.
“Del Mar office tenants have been drawn to the exterior entries rather than enclosed hallways, restrooms accessed from outdoor common space, excellent circulation with operable windows throughout, expansive outdoor patio and meeting space, independent HVAC systems, and social distancing design plan,” says McEvoy.
Harbor Associates and Bascom Group have been one of the most active value add buyers of office properties in Southern California having built a portfolio of 28 office buildings over the last six years that comprise more than 3.7 million square feet of space.
“Despite the pandemic and lack of office sales transactions, we have a robust pipeline of activity behind this transaction and look forward to continuing to build our Southern California portfolio,” adds Bascom Managing Partner Jerry Fink.