Olen to Build Another Complex in Orange County

Olen Properties Corp., which is building Orange County’s first new office buildings in several years in Brea, said Tuesday it will build a new five-building, $16.3-million office complex in suburban Rancho Santa Margarita.

The Newport Beach-based company has agreed to purchase 6.8 acres at Avenida Empresa and Rancho Santa Margarita Parkway from RSM Management Co. on which it will build one- and two-story buildings totaling 140,000 square feet.

Olen President Igor Olenicoff said he expects construction to begin in two months, depending on whether Olen can line up tenants for the buildings. He is financing the project with his company’s cash reserves.

“We feel comfortable that before it’s done we’ll have some of it pre-leased,” Olenicoff said. “The market we are finding is as hot as everybody says it is.”

Commercially zoned land is becoming increasingly scarce and expensive, he said.

“We’re just fortunate to find land anywhere. The largest chunks are held by the Irvine Co., and they don’t sell to speculative developers,” he said.

Olenicoff is targeting smaller back office operations for the new complex, or law firms, if the Orange County courthouse decides to move to a proposed location nearby.

Separately, Olen said it has purchased a 58,452-square-foot office building at 4910 Birch St. in Newport Beach. The building’s major tenant, precious metals dealer Monex, sold the property to Olen for an undisclosed amount and is leasing it back for five years. Brokers estimate the value of the property at between $8 million and $9 million.