Granite Properties has completed the sale of its 346,300-square-foot office building at 100 Bayview Circle in Newport Beach, California. According to reporting cited from L.A. Business First, the property was 88% leased at the time of the transaction, with 36 tenants in place across the building.
The office asset, located in Newport Beach, traded hands to a private investor. The buyer was not identified, but the article notes that the acquisition was supported by arranged financing. The sale marks a disposition of a sizable office property in the coastal Orange County market.
Newmark advised on both the sale and the buyer’s financing. Newmark brokers Kevin Shannon, Paul Jones, Ken White and Brandon White represented Granite Properties as the seller in the transaction. On the capital side, Newmark’s Jonathan Firestone and Blake Thompson handled financing for the private investor buyer.
The transaction follows Granite Properties’ earlier acquisition of the 100 Bayview Circle building. The firm purchased the asset in 2018 from AEW Capital Management for $125.6 million. While the current sale price was not disclosed, the prior trade provides a reference point for the building’s historical valuation. The building’s high occupancy at the time of sale underscores its position as a multi-tenant office property with a diverse rent roll.
Granite Properties has been active in Orange County office trades in recent years. Last year, the company sold Orange City Square, a business center in the city of Orange, to MGR Real Estate Inc. for $89 million. That earlier sale, combined with the disposition of 100 Bayview Circle, highlights the firm’s continued portfolio activity in the region.
The sale occurs against the backdrop of a relatively tight but competitive office market in Orange County. The county’s office vacancy rate reached 13.3% in the second quarter, according to a report by CBRE Research. Within that context, Newport Beach is part of the county’s Greater Airport Area submarket, which posted a 13.6% vacancy rate last quarter.
CBRE’s research also reported that Class A office space in the Greater Airport Area submarket had an average asking rent of $3.34 per square foot per month in the most recent quarter. These market metrics frame the operating environment for large multi-tenant office assets such as 100 Bayview Circle, where leasing levels, rent trends and vacancy conditions are central to underwriting and investment decisions.
With Granite Properties exiting ownership of 100 Bayview Circle and a private investor stepping in, the asset’s future performance will be shaped by how leasing and rental dynamics in the Greater Airport Area evolve relative to countywide office fundamentals.
