SAN DIEGO (Oct. 8, 2004) – Reef, one of the top active sportswear brands in the world, has signed a seven-year lease for 124,048 square feet of warehouse/distribution and office space in Otay Mesa’s Siempre Viva Business Park. The facility will serve as logistical hub for its sandal, apparel and shoe business.
Although the lease is planned to commence in September 2005, Reef is scheduled to take possession of the property in June 2005 for the installation of a material handling system.
Reef was represented in the transaction by Gary Patten, chief financial officer, and Luis Villaverde, logistics director. The lessor, Murphy Development Company, was represented by Hack Adams, the firm’s director of marketing. Reef leased approximately half of the 248,136-square-foot Building 14 in the business park’s Western Phase. Reef will be the first tenant to occupy space in the 54-acre Western Phase, which is planned for 850,000 square feet of corporate/industrial buildings.
Reef, established in San Diego in 1984 by Argentina-born brothers Fernando and Santiago Aguerre, is now the world leader in surf-inspired footwear and activewear. The company’s clothing line is available on five continents and in more than 100 countries. In the last 20 years, the company has expanded from a small warehouse to its new 124,048-square-foot, state-of-the-art distribution facility.
The building, designed by Gene Cipparone Architects, will be built by Lusardi Construction Company. It will be a double-loaded facility with 54 dock-high loading doors, two grade-access doors, a 36-foot minimum clear height, and an all concrete truck yard.
“We are excited to have the opportunity to launch the Western Phase with a major transaction with a highly respected firm,” said Adams. “Reef is not only a home-grown success story, but also a world leader in its industry and has incredible global brand recognition.
“When our building – and their materials handling system are completed, the combination will result in one of the most sophisticated distribution operations in the county,” he added.
Murphy Development Company is the largest commercial real estate developer on Otay Mesa. The firm has completed in excess of 3.6 million square feet of space on Otay Mesa and has plans for an additional 2.5 million square feet. The Western Phase is the final phase at the 2.1 million-square-foot business park, which has been one of the most successful developments in San Diego County. The mix of tenants reads like a Who’s Who of influential international companies, including Hitachi Transport, Iron Mountain, Air Tiger, UPS Supply Chain Solutions, Bose Corporation and Pioneer Speakers.
“After the remaining Siempre Viva Business Park buildings are completed, we will turn our attention to the 80-acre Brown Field Technology Park, which is master-planned for approximately 1 million square feet of corporate industrial and technology product and could well attract a major campus user,” noted Adams.