Newly Revamped Retail Center The Shops at Mesa Verde in Costa Mesa, Calif. is Now 100 Percent Leased with the Addition of Four Restaurants – CBRE

Orange County –  CBRE announced the recently remodeled retail center The Shops at Mesa Verde in Costa Mesa, Calif. is now 100 percent leased. The latest tenant to take space at the project is Kenwood's Kitchen & Tap for 3,766 square feet.

Barclay Harty and Motti Farag represented the landlord, M.V. Partners.

The retail center has undergone an extensive remodel, including the implementation of outdoor patios, enhanced landscaping, cohesive common areas for customers and new decorative features such as upgraded lighting, signage and a courtyard water feature. The most recent project included the demolishing of the former Souplantation building and replacing it with a brand new, 11,215 state-of-the-art, multi-tenant restaurant pad.

The new building, located at 1555 Adams Ave., will be fully occupied by four new restaurant tenants, including Descanso-A Modern Taqueria, Mokkoji Shabu Shabu Bar, The Kebab Shop, and Kenwood's Kitchen & Tap. Descanso, a modern taqueria offering a traditional plancha experience prepared at your table, opened in November 2018. The Kebab Shop and Mokkoji Shabu Shabu Bar will be opening in the first quarter of 2020 and Kenwood's Kitchen & Tap will be opening mid-2020.

“Harbor Boulevard has many food options, however, most of them are fast food operators,” said Farag. “The landlord saw an opportunity to provide the Mesa Verde community with a different set of higher-quality offerings, where locals can have a nice sit-down experience."

Prior to these latest developments, CBRE also facilitated leases at the center with The Broken Yolk Café and Porcelain Luxury Salon Suites. During the last ten years, members of the ‘Five Fs’ – fun, furniture, fitness, food and fashion— have leased 36 million square feet of retail space in the Greater Los Angeles, Orange County and Inland Empire region and increased their share of total retail leasing activity to 23.6 percent in 2019 from 7.1 percent in 2009, according to CBRE research. These five tenant categories are less likely to be disrupted by ecommerce. In the third quarter, the Orange County market continued to outperform many other regions.

As larger floorplans and big box concepts diminished, junior anchors like pet stores, food venues, smaller grocery concepts, furniture chains, and fitness centers became the draw of retail. The average rental rate and vacancy remained relatively stable with a slight uptick in both figures. Net absorption driven by small- to mid-sized deals remained positive, according to CBRE research.