Airport-Area Leases Are Soaring

Although Orange County’s top executives have tempered their optimism about the economy compared to a year ago, a recent UC Irvine survey found that the mood remained upbeat in the real estate, banking and finance sectors.

The poll’s findings come as no surprise to professionals in the real estate industry. Home prices as well as commercial lease rates, particularly in the airport area, have swelled to record highs. New office construction is booming.

Nexus Development Co. will soon start construction on the $80-million Twin Towers project, a pair of nine-story buildings near John Wayne Airport. The company recently signed its first large tenant, MSC Software, to a 12-year, multimillion-dollar lease. MSC will occupy 125,000 square feet, or 30% of the project’s total space, roughly the size of a typical Costco store, Nexus said.