Key Takeaways
- Irvine Company’s portfolio across Orange County, Los Angeles, San Diego, Silicon Valley, Chicago and New York is 90% leased, 10% more than national average
- The Company leased 11.5 million square feet of premium office space to more than 1,000 companies in 2024 – 2 million square feet more compared to 2023 leasing activity
- Irvine Company’s financial strength to reinvest helps drive leasing momentum – with more than $538 million of capital deployed across its portfolio last year
- Legal services, financial services and technology are the top three industries to drive leasing activity
IRVINE, Calif. (February 14, 2025) – Irvine Company today announced another strong year of activity from January 1 – December 31, 2024, leasing 11.5 million square feet of premium office space to more than 1,000 companies across Orange County, Los Angeles, San Diego, Silicon Valley, Chicago and New York. The Company’s portfolio maintained a robust 90% leasing percentage, significantly outperforming the national average vacancy rate of 20.4% in major metropolitan areas, according to Moody’s Analytics.
“Irvine Company’s 2024 results underscore both the ongoing flight to quality and renewed optimism in the office market. Our workplaces are located in places where our customers and their teams want to be – centrally located and surrounded by exceptional amenities,” said Roger DeWames, president of Irvine Company Office Properties. “As companies continue to return to the office in greater numbers, Irvine Company’s commitment to best-in-class customer service and continual investment in workplace enhancements help to ensure our customers have a better workday, every day.”
Last year, more than $538 million of capital was invested across Irvine Company’s workplaces – to elevate the workday experience and help customers attract and retain top talent. Irvine Company’s continual reinvestment across its portfolio also helped the Company achieve a 66% renewal rate in 2024, significantly outperforming the industry average of below 50%, as reported by JLL Research.
Pacific Arts Plaza is the ideal environment for our growing operations – a premium location that brings our teams together under one roof,” said Patrick Thomas, Southwest Managing Partner of Acrisure. “By uniting more than 200 employees from 10 different offices, we are fostering greater collaboration and efficiency that will not only strengthen our organization but also enhance the service and solutions we provide to our clients. At Pacific Arts Plaza, our employees can enjoy an abundance of walkable amenities in the area, while the building’s prominent signage and exposure allow us to strengthen our brand presence here in Southern California.
As seen by leasing activity and supported by findings in a recent Irvine Company survey, companies are looking for workplaces that take a holistic approach to the workday experience. Conducted via GroupSolver’s platform, the study included 804 office space decision-makers from small, mid-sized, and large companies. When respondents were asked what would significantly impact their decision to choose one office location over another:
- 91% agreed office location and amenities
- 80% agreed being in an area that has stores and restaurants nearby
- 77% agreed modern gym facilities
- 76% agreed onsite food service, outdoor activity space and community space
Legal services, financial services and technology were the top three industries to drive leasing activity across Irvine Company’s portfolio with a combined 3.9 million square feet of space leased in 2024. Law firm leasing activity continues to lead the market, building on leasing demand that returned to pre-pandemic levels in 2023. In 2024, legal sector leasing volume from Q1 to Q3 was up 30% compared with the same period the prior year, according to Savills Research & Data Services’ Q3 law firm activity report.
Flexible workspaces also continued to see strong demand through Irvine Company’s Flex+ program, with nearly 2 million square feet leased in 2024. Flex+ offers private, high-end, move-in-ready workspace with no upfront capital requirements, and Irvine Company plans to invest an additional $200 million in Flex+ over the next five years.
In the overall office market, flexibility remains a top priority for office renewals or relocations. According to a CBRE survey, 24% of respondents said their current landlord’s willingness to offer more flexibility is a factor in office space renewal. When it came to the most desirable amenities for office occupiers, 31% said a flexible office space offering is a desirable amenity for building services.
Notable 2024 leases include:
- Orange County
- JPMorgan Chase, 173,000 square feet, Jamboree Center
- Becton, Dickinson and Company, 116,200 square feet, Spectrum Terrace
- Bank of America, 106,000 square feet, 520 Newport Center Drive
- Willow Laboratories, 63,400 square feet, UCI Research Park
- Tarsus Pharmaceuticals, 60,000 square feet, Spectrum Terrace
- Ventura Foods, 60,000 square feet, Spectrum Terrace
- Acrisure, 59,400 square feet, Pacific Arts Plaza
- St. Joseph Health System, 45,000 square feet, Discovery Park
- Chicago
- PricewaterhouseCoopers LLP, 282,600 square feet, One North Wacker
- Mayer Brown LLP, 271,800 square feet, 71 South Wacker
- GTCR, 103,071 square feet, 300 North LaSalle
- Barnes & Thornburg LLP, 95,500 square feet, One North Wacker
- White & Case, LLP, 64,000 square feet, 300 North LaSalle
- Crowell & Moring LLP, 49,000 square feet, 300 North LaSalle
- Arnold & Porter Kaye Scholer LLP, 40,300 square feet, 300 North LaSalle
- San Diego
- Mintz, Gateway at Torrey Hills
- Splitero, The Plaza
- Silicon Valley
- Goertek Electronics, 72,300 square feet, Santa Clara Gateway
- KPMG, 51,700 square feet, Santa Clara Square
- Futurewei Technologies Inc., 18,800 square feet, Silicon Valley Center
- Los Angeles
- Armanino LLP, 23,500 square feet, 2121 Avenue of the Stars
- Signature Estate & Investment Advisors, LLC, 23,400 square feet, 2121 Avenue of the Stars
- Shook, Hardy & Bacon, LLP, 8,600 square feet, 2121 Avenue of the Stars
- New York
- Winston & Strawn LLP, 237,800 square feet, 200 Park Avenue
- CBRE, Inc., 204,300 square feet, 200 Park Avenue
About Irvine Company Office
Irvine Company elevates the workplace by combining inspired design, exceptional quality, innovative solutions and experience-driven amenities. Renowned for continual evolution, reinvestment and personalized service, Irvine Company creates environments that cultivate collaboration, creativity and customer success. The company serves more than 3,000 customers in 53 million square feet of workplaces in Orange County, Los Angeles, Silicon Valley and San Diego, with iconic towers in Chicago and New York. Irvine Company leads the industry with a forward-looking mindset and commitment to creating thriving communities.
###
Media Contact
Gemma Stewart
562-544-5797