[caption id="attachment_41481" align="alignright" width="350" caption="OnTrac leased this entire 50,000-square-foot south Petaluma building for expansion."][/caption]
As part of a ramp up of Bay Area service, Phoenix, Ariz.-based regional overnight package courier OnTrac is expanding its North Bay hub. The company in August leased the entire former 50,000-square-foot Scandinavian Designs distribution center at 3830 Cypress Drive in Petaluma. From one loading dock in 9,000 square feet at 374 Blodgett St. in Cotati, OnTrac will have seven dock doors and two grade-level doors, allowing the company to handle 60 percent more packages for its service area, nearly 400 miles of coastline from San Francisco to Oregon, according to Laura Peterson, marketing vice president.
Founded 20 years ago as California Overnight and focusing on moving escrow and other documents for professional services firms, OnTrac now serves various industries in seven Western states, adding Colorado in September, and has annual revenues of more than $200 million. The service doesn't deliver wine, according to Ms. Peterson.
OnTrac markets itself as a faster, less-expensive alternative to national couriers. The company has California hubs in Sacramento, San Jose, San Francisco and a new one in Menlo Park. The largest facility is a new 160,000-square-foot hub in Reno, Nev.
OnTrac currently has 15 employees plus independent contractor drivers at the North Bay hub and will be hiring five sorters (resumes: HRMail@OnTrac.com) as well as more drivers (vendorrelations@OnTrac.com) for the Petaluma facility.
Jerry Angel of Cornish & Carey Commercial Newmark Knight Frank and Rick Keefer of Pacific Union International represented the building owner. John Kovaleski of Colliers International represented OnTrac.
In the past three months, a number of offers from expanding North Bay companies came in on the building, but most were looking for up to 30,000 square feet, according to Mr. Keefer.***
The Marin County Board of Supervisors on Tuesday could postpone until Nov. 15 a decision for the county to purchase part of a large San Rafael commercial property to be the new home for the Sheriff's Department and other emergency services currently located at the Civic Center to the south in San Rafael. On Sept. 13 the board postponed the decision until Oct. 4 to give staff more time to study the venture.
If the board decides to move forward with such a purchase, the supervisors will be considering whether to purchase the entire 328,000-square-foot office building at 1600 Los Gamos Drive in the Marin Commons two-building development for $30 million or 165,000 square feet of it for $24 million, as part of the purchase option agreement with owner CORAC LLC from earlier this year.
If the board chooses the partial purchase, CORAC would pursue a lot split, according to board documents. In studying the plan, county has released $100,000 of the $250,000 deposit since the April agreement was signed.
Should any sale move forward, escrow could close in 45 days, per the agreement, unless the either side of the deal decides to extend it for 90 days, according to David Spear, facilities planning and development manager. How much of the space county offices will occupy depends on forthcoming space planning and accommodating existing tenants in the building, he said.
Marin Commons has been a big piece of the the county's office vacancy rate for years, even before the current owner took it back in a 2009 foreclosure.
"A county deal at Marin Commons would absorb a big chunk of space," said Whitney Strotz, head of Cassidy Turley BT Commercial's San Rafael office.***