The Orange County office market just got a boost from one of California’s biggest regional banks.
Pacific Premier Bank renewed its 115,438-square-foot headquarters at John Hancock Real Estate’s 12-story Oracle Tower at 17901 Von Karman Avenue in Irvine, tenant broker Kidder Mathews announced.
Asking rent at the 272,887-square-foot office tower was $3.25 per square foot, according to the listing and a source with knowledge of the deal. That’s high for the market. Average asking rent for office space in Orange County was $2.79 per square foot last quarter, according to a Colliers report.
The exact length of the lease is unclear, but Colliers’ Bob Caudill, who represented the landlord along with Ryan Ward and Andrew White, said Pacific Premier would be in the building for “an extended amount of time.”
Pacific Premier is “a great tenant for the building,” Caudill said. “We’re happy they’re staying.”
The 41-year-old regional bank has an $18 billion commercial portfolio spanning the West Coast and Sun Belt. The Oracle Tower has served as its corporate headquarters for more than a decade, SEC filings show. It’s unclear when the bank first opened an office there.
John Hancock — U.S. arm of Canadian life insurer Manulife — acquired the property in 2014 for $94 million, The Orange County Business Journal reported at the time.
Kidder Mathews’ Dave Carder and Eric Tse arranged the deal for Pacific Premier.
Carder said in a statement that office deals this big are rare in the current market.
“The size of this transaction is exceptional, marking one of the largest office leases in the Irvine submarket this year,” Carder said.