Murphy Development Acquires Panasonic Industrial Complex For $28M
Murphy Development Co. has repurchased the 542,197 SF San Diego Business Park on Otay Mesa from Panasonic Corporation of North America for $28M. MDC developed the two-building industrial complex for Sanyo in 1986, and Panasonic acquired it in 2016. MDC plans to invest $15M in upgrades and rebrand it The Campus at San Diego Business Park.
MDC president Michael Murphy said his company was pleased to reacquire the industrial park. “Panasonic will remain the lead tenant in the campus,” he said. When the project was developed 30 years ago, it was on a hill by itself on the east end of Otay Mesa, close to the newly opened Otay Mesa Port of Entry. “Now it retains its dominant location and is surrounded by freeways.”
Improvements will include new landscaping, replacing all office glazing with energy-efficient glass, modernizing the office areas, updating the solar panel system, and adding dock and grade doors. Murphy also will add a café, a physical fitness facility and outdoor amenities, including break areas.
Lusardi Construction Co. will complete improvements designed by Pacific Cornerstone Architects. Ridge Landscape Architects will design new drought-tolerant landscaping.
“The newly renovated buildings will offer suites as small as 36K SF,” MDC senior vice president Andy Irwin said. “We can expand the 2055 building or construct a third building in approximately 12 months, offering manufacturing, distribution or R&D tenants space at the campus in excess of 450K SF."
Brent Bohlken and Bryan Teel of Newmark Grubb Knight Frank repped the seller, and Murphy repped itself.