By Meghan Hall
A five-building mixed-use property in the growing town of Belmont has traded hands. According to a recent market report released by Cushman & Wakefield, The Raiser Organization sold the Harbor Park office and R&D complex for $154 million, or about $712 per square foot. The buyer of the property was Goodman Birtcher, part of Goodman North America.
The property is located at 260-498 Harbor Blvd. and totals about 216,298 square feet. The asset is broken into 144,857 square feet of office and an additional 71,441 square feet of R&D and warehouse space. According to CommercialCafe, the property was originally constructed in 1980, includes 778 parking spaces and encompasses 12.41 acres of land.
The asset is right next to Highway 101, also known as the Bayshore Freeway. Other companies, such as Bina Technologies, Auris Health and Nikon Precision are nearby.
The seller of the property, The Raiser Organization, has been specializing in Peninsula real estate for more than 50 years, according to its website. Its current portfolio consists of over 500,000 square feet of commercial and residential real estate.
The San Mateo County office and R&D market seems to be steadily improving, as the unemployment rate continues to decline and office vacancies trend downward. According to Cushman & Wakefield, the combined office and R&D vacancy rate at the end of the year sat at 10.1 percent, a year-over-year decrease of about 10 basis points. Office vacancy decreased from 14 percent to 12.5 percent, while R&D vacancy increased from four percent to 6.5 percent.
Looking at the market ahead, the vacancy rate is expected to climb as 514,000 square feet of space is scheduled to deliver. Of that, about 63.8 percent is pre-leased. While rents are rising, the San Mateo County is still less expensive than other Bay Area markets, and therefore growth in the area is expected to continue, especially for life science companies.