SAN RAFAEL – About 158,000 square feet of new offices is set to be ready for tenants in downtown San Rafael, and one of the builders says there already is serious interest in leasing nearly 18 percent of the new space.
The $84 million second phase to San Rafael Corporate Center, which includes two office buildings and a parking garage, is testing demand for class A office space in the central San Rafael market and certified "green" accommodations. Nearly 42 percent of that 754,000-square-foot class A San Rafael submarket was available for lease at the end of the second quarter, according to commercial real estate brokerage Orion Partners.
The garage was finished this month. The first building, located at 770 Lindaro St., is set for completion in September, and an adjacent building at 790 Lindaro is slated to be ready in October. A third and final phase with an 80,000-square-foot building as well as a second parking garage will be built sometime in the next five years.
Three undisclosed Marin County companies are in various stages of signing letters of intent to lease some of the new space or are planning their offices, with space needs totaling 28,000 square feet, according to Wick Polite, president and chief executive officer of San Rafael-based Seagate Properties Inc. In 2007, Seagate and the asset management division of New York-based JPMorgan Chase & Co. purchased the 13-acre property with 158,000 square feet in two existing office buildings.
"There are a lot of people looking around and waiting on the sidelines for the past year waiting to find out what's happening with their businesses," Mr. Polite said. "A year ago they were holding off, and I think the result is that they are getting serious to committing to space needs."