North County is, and continues to be, one of the fastest growing areas in San Diego. It is one of the hottest places for commercial real estate development, with the cities of Oceanside and Carlsbad leading the way.
The North County real estate boom has resulted in increased land values and diminishing available land. According to CB Richard Ellis' most recent market report, Carlsbad land values have increased 30 to 40 percent during the last 24 months.
Roger Carlson, vice president of CB Richard Ellis' brokerage services in the Carlsbad office, said that after South County, San Diego's North County has the most available land left in San Diego.
"Central County is essentially built out, so many people are looking to North County instead," Carlson said.
Yet North County is also beginning to feel the squeeze on available land.
Carlson, who specializes in office and R&D leasing and sales, as well as land sales, said that while Vista more recently was providing much of the available land, that market is now diminished, contributing to the rush on Carlsbad and Oceanside business parks.
In addition to the scarcity of land, the North County market is also being driven by exceptional demand from owner users interested in owning their own building.
"These factors have created exceptional demand from developers for available land," said Carlson.
He estimates that North County has a seven to 10 year supply left of available land.
Carlson added that much of the land being sold is being bought with the intention of building for sale projects.
Ken Satterlee, a North County developer who has developed more than 1 million square feet of office, industrial and retail space in Carlsbad since 1982, is one of the three major developers building out Bressi Ranch.
Satterlee plans to build for-sale and build-to-suit commercial office/R&D space and said that many of the buildings have sold before ground has been broken.
"Eleven of the 15 buildings planned at Spectrum at Bressi Ranch and four of the nine buildings planned at Spectrum Flex have already sold," Satterlee said.
Jane McVey, Director of Economic Development & Redevelopment for the City of Oceanside, said that there are still some large parcels of developable commercial land available in Oceanside, citing the 28 acres of office land in Oceanside's Rancho Del Oro Corporate Office Park, which is currently awaiting entitlement, and Pacific Coast Business Park, 127 acres of land that was recently entitled.
McVey, however, added that the current available land is being snatched up very quickly and new buildings don't stay on the market long.
Pacific Coast Business Park expects to sell all of their lots within three to five years, McVey said.
"Small and medium sized buildings are selling quickly," she added. "Lots of companies want to buy these for their own operations."
Ocean Ranch Corporate Centre, a 400 acre commercial park in Oceanside, is currently sold out, a testament to the strong commercial market in the North County, she said.
"There has been heavy land absorption in Oceanside over the last five years," McVey said. "Carlsbad and Oceanside are the powerhouses of the market right now."
In Carlsbad, 400-450 acres of new industrial development are under construction, said Cynthia Haas, Manager of Economic Development and Real Estate for the City of Carlsbad.
"Companies have to look at locations where people that work for you want to live," Haas said. "Carlsbad offers an incredible quality of life. It has become a place where people want to live, and with all the traffic in San Diego, employees want to live close to where they work."
The North County real estate boom has resulted in increased land values and diminishing available land. According to CB Richard Ellis' most recent market report, Carlsbad land values have increased 30 to 40 percent during the last 24 months.
Roger Carlson, vice president of CB Richard Ellis' brokerage services in the Carlsbad office, said that after South County, San Diego's North County has the most available land left in San Diego.
"Central County is essentially built out, so many people are looking to North County instead," Carlson said.
Yet North County is also beginning to feel the squeeze on available land.
Carlson, who specializes in office and R&D leasing and sales, as well as land sales, said that while Vista more recently was providing much of the available land, that market is now diminished, contributing to the rush on Carlsbad and Oceanside business parks.
In addition to the scarcity of land, the North County market is also being driven by exceptional demand from owner users interested in owning their own building.
"These factors have created exceptional demand from developers for available land," said Carlson.
He estimates that North County has a seven to 10 year supply left of available land.
Carlson added that much of the land being sold is being bought with the intention of building for sale projects.
Ken Satterlee, a North County developer who has developed more than 1 million square feet of office, industrial and retail space in Carlsbad since 1982, is one of the three major developers building out Bressi Ranch.
Satterlee plans to build for-sale and build-to-suit commercial office/R&D space and said that many of the buildings have sold before ground has been broken.
"Eleven of the 15 buildings planned at Spectrum at Bressi Ranch and four of the nine buildings planned at Spectrum Flex have already sold," Satterlee said.
Jane McVey, Director of Economic Development & Redevelopment for the City of Oceanside, said that there are still some large parcels of developable commercial land available in Oceanside, citing the 28 acres of office land in Oceanside's Rancho Del Oro Corporate Office Park, which is currently awaiting entitlement, and Pacific Coast Business Park, 127 acres of land that was recently entitled.
McVey, however, added that the current available land is being snatched up very quickly and new buildings don't stay on the market long.
Pacific Coast Business Park expects to sell all of their lots within three to five years, McVey said.
"Small and medium sized buildings are selling quickly," she added. "Lots of companies want to buy these for their own operations."
Ocean Ranch Corporate Centre, a 400 acre commercial park in Oceanside, is currently sold out, a testament to the strong commercial market in the North County, she said.
"There has been heavy land absorption in Oceanside over the last five years," McVey said. "Carlsbad and Oceanside are the powerhouses of the market right now."
In Carlsbad, 400-450 acres of new industrial development are under construction, said Cynthia Haas, Manager of Economic Development and Real Estate for the City of Carlsbad.
"Companies have to look at locations where people that work for you want to live," Haas said. "Carlsbad offers an incredible quality of life. It has become a place where people want to live, and with all the traffic in San Diego, employees want to live close to where they work."