Laguna Hills Experiences Major Shift in Office Real Estate

Categories: Business NewsNewsReal Estate & Properties

The Plaza Pointe office building in Laguna Hills, now for sale as the real estate market shifts.

News Summary

Laguna Hills is in the spotlight following the dramatic sale of Plaza Pointe, an office building sold for $15.5 million, significantly down from its $74.3 million purchase price in 2019. The change is attributed to evolving office space demands amid the pandemic, with occupancy rates remaining uncertain. The surrounding area sees similar trends, including a high office vacancy rate of 19.6% in Orange County. As investors reassess strategies and opportunities arise, the future of office spaces in Laguna Hills continues to shift.

Laguna Hills Sees Dramatic Shift in Office Real Estate

In an unexpected twist in the real estate scene, Laguna Hills is buzzing this week following the sale of a significant office building known as Plaza Pointe, which fetched a surprising $15.5 million. That amount feels almost like a steal, especially when you consider that the same property was acquired just a few years ago for a staggering $74.3 million in 2019. It’s a jaw-dropping 79% drop in value—who would have thought?

About the Sale

Located at 23041 Avenida de la Carlota, this 68,000-square-foot office space has passed hands amidst a changing landscape for office work across the nation, largely due to the pandemic. Its new owner remains shrouded in mystery, adding an air of intrigue to the affair. What we do know is that the sale price translates to a mere $228 per square foot.

The seller, operating under the name View Point, is a limited liability company based in Los Angeles, though details are scarce as it isn’t listed in state business records. However, another entity, View Pointe LLC, which includes individuals named Gor Mnatsakanyan, Hayk Mnatsakanyan, and Andrew Harper, is connected to the same address as Plaza Pointe.

Current tenants of the building include well-known companies like Kaiser Permanente, Data Center Warehouse, and Terracon. Unfortunately, we don’t have any information about occupancy rates at the time of sale, leaving many curious about how these tenants are faring in the current market conditions.

Impact of the Pandemic

In just a few years, the landscape of offices in Laguna Hills and across South Orange County has changed dramatically. By the third quarter of 2024, the office vacancy rate in South Orange County hovered around 13%. Early figures from 2023 indicated a more troubling 19.6% office vacancy rate throughout Orange County, with a shocking 18 million square feet of unoccupied space. It seems like these figures are prompting many investors to reassess their strategies.

Just a stone’s throw away in Laguna Niguel, there’s another big player in the real estate game, the Chet Holifield Federal Building. This unique property, featuring striking architecture designed by the renowned William Pereira, is also undergoing an auction. This building, which many locals recognize for its ziggurat-like appearance, is being marketed as a prime development opportunity. As of late October 2025, bids for the property have already climbed to $177 million.

The GSA’s Strategy

The auction is managed by the General Services Administration (GSA), which is actively looking to streamline government spending and real estate management. Federal agencies are set to vacate the Chet Holifield building by the end of 2024, leaving potential buyers eager to explore new development options.

As we continue to watch these unfolding stories in Laguna Hills, it’s clear that the office real estate market is in a state of flux. The drastic decrease in property values reflects the broader changes in work dynamics and tenant needs as they adapt to a post-pandemic world. With rising vacancy rates and market re-evaluations, investors and stakeholders alike will be keeping a close eye on the future of office spaces in not just Laguna Hills, but throughout the entire region.

In the ever-changing world of real estate, it seems like there are always new developments around the corner. Stay tuned!