Oxnard Towers to Get a $4-Million Upgrade

Bolstered by a strong upturn in the commercial real estate market, the owners of Ventura County’s two tallest buildings said Thursday that they will spend $4 million upgrading the landmark towers in hopes of luring more companies from the Los Angeles Basin.

In a three-year effort, Channel Islands Properties, owner of the Oxnard Financial Plaza, will modernize the development’s two high-rise and four low-rise buildings and surrounding grounds, officials said.

“This capital improvement program is crucial to positioning these assets to capture tenants in this improving market,” said Garret Solomon, vice president of Channel Islands Properties. “As the east county office market continues to tighten, companies moving from the Los Angeles Basin will continue to explore the west county market, where we have the enviable combination of a progressive business environment and Ventura County’s renowned quality of life.”

The plaza’s 550,000 square feet of office space--which includes a 22-story tower, a 14-story tower and four smaller buildings--looms over the Ventura Freeway near Vineyard Avenue. Over the next three years, buildings will be painted, trees planted, lobbies spruced up and new signs installed.

The renovations are designed to bring the buildings up to 21st century standards and hence make them more attractive for prospective tenants, said Tim Grant, a senior associate with CB Commercial Real Estate Group, the plaza’s broker representative.

With an improving economy and increasing lease rates in the San Fernando Valley and Los Angeles, office space has been filling up countywide, said Steve Fedde, vice president of SARES-REGIS Group, the plaza’s management company.

The vacancy rate in the plaza stands at about 20%, about 6 percentage points higher than in the rest of the county, Fedde said. Rental prices in Ventura County, even for the plaza’s premium office space, are significantly lower than in Los Angeles County, he added.

“We are negotiating with several very large tenants,” Fedde said. While he would not disclose the names of the potential tenants, he said some were from within the county and the deals could amount to leases for 60,000 square feet to be signed before the end of the year.

“We expect 1997 will be a very, very good year,” Fedde said.

Improvements to the plaza will range from floor-by-floor remodeling of lobbies and common areas to extensive landscaping.

“The original project sign at the Esplanade Drive entrance is coming down as we speak and is being replaced with very modern linear signage and date palm trees that will set the tone throughout the plaza,” Fedde said.

“The Financial Plaza is regarded as the premiere business address in Ventura County,” he added. “These improvements will enhance the Financial Plaza’s appeal to companies that want a prime location with superior amenities.”

Channel Islands Properties, an affiliate of New York-based Tiger Real Estate Fund, was established to oversee all the Ventura County properties the Wall Street firm purchased in February for $150 million from Oxnard developer Martin V. “Bud” Smith.

Smith, who long dominated Oxnard’s commercial real estate market, received permits to build a third, 15-story tower at the site. But the new owners said Thursday the market is not yet ready for another building of that magnitude.