REAL ESTATE : Irvine Co. Mulling Possible Repeat of Public Stock Offering

After completing the Irvine Co.’s first public stock offering last year--a trust consisting of much of its apartment holdings--billionaire owner Donald L. Bren may be at it again.

Orange County real estate watchers are speculating that the Irvine Co. may be eyeing the feasibility of selling a real estate investment trust composed of its office and industrial properties and shopping centers.

Real estate investment trusts, or REITs, are a way for developers to tap the public markets by selling shares in real estate to investors. Investors are attracted by the high returns and developers see REITs as a way to gain badly needed capital, often for expansion.

“I think we’ve said publicly that we continue to explore the public markets,” said Richard G. Sim, executive vice president of the Irvine Co. “We’re studying all our options. Maybe we would do another REIT or go to the banks. We’re not sure yet.”

One property that could make REIT fodder is the Irvine Spectrum, an industrial park with an estimated 7% vacancy rate. Sim predicts that, with plans calling for more and more theaters, shops and restaurants, it will become the “downtown of South County.”