San Diego will sublet space in Mission Valley as part of plan to vacate downtown operations building

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Council members OK'd a short-term, $10.2 million lease of the two-story building at 7650 Mission Valley Road. The city will relocate most of its development services department to the facility later this year

Eager to exit its failing downtown operations building, the city of San Diego has agreed to lease the entirety of an empty office building in Mission Valley and will move a portion of its development services department to the facility later this year. Monday, San Diego City Councilmembers voted 8 to 1 to sublease the building at 7650 Mission Valley Road from Wawanesa General Insurance Company Inc. for a term of four years and four months, ending September 2028.

The office building at 7650 Mission Valley Road is a two-story, 73,970-square-foot facility that was renovated by Wawanesa in 2019. The insurance company, now a wholly owned subsidiary of the Auto Club of Southern California, made the improvements but did not fully occupy the building because of workplace protocols put in place during the pandemic. San Diego will pay $2.40 per square foot on a monthly basis for base rent, with the base rate increasing 3 percent each year.

 

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