Office and Medical Office Property in the Coachella Valley

Office demand in the Coachella Valley tends to form around specific institutions: hospitals, courts, government offices, and colleges. If you own office property, a buyer's or tenant's interest often depends on how close you are to one of them and what kind of tenants that institution brings to the area.

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What drives office demand here

• Medical. Rancho Mirage's general plan says its office market benefits from Eisenhower Medical Center. It describes the city as a "preferred business address." The county's area plan lists medical centers among the major employment centers in the valley.
• Courts and county services. Indio is a secondary county seat. The Larson Justice Center, county offices, and law firms are located along Highway 111.
• Higher education. Palm Desert has College of the Desert's main campus, a CSU San Bernardino campus on Cook Street, and a UC Riverside center.
• Professional businesses. La Quinta has worked to attract professional businesses. Its new Highway 111 corridor plan sets a mixed-use framework.
• Corridor rules. Indian Wells's Highway 111 overlay includes setback standards for existing commercial and office-professional buildings.
• Planned office near I-10. In unincorporated Thousand Palms, the county's area plan names office centers as a suitable use for some large parcels near the freeway.
• Impact fees. New office square footage falls under the office category of CVAG's Transportation Uniform Mitigation Fee.

Selling versus leasing

Leasing can suit you if your building is near a strong anchor such as a hospital or the courts. Medical tenants often have specific build-out needs, so ask your broker how tenant improvement costs and lease term fit together.

Selling can suit you if an owner-user, such as a medical group or professional firm, wants to buy its own space, or if your building is a candidate for conversion under a newer mixed-use plan. Zoning and conversion questions should go to a land-use professional.

Broker expertise to look for

• Office or medical office leasing in your submarket
• Experience with tenant improvement negotiations
• Relationships with medical, legal, and professional tenants
• Experience with owner-user sales

Questions to ask a broker

1. Which tenant groups do you expect to want my building, and why?
2. How would you handle tenant improvement allowances and lease terms?
3. Are there owner-users who might buy rather than lease?
4. Does a nearby corridor plan or overlay affect my building?
5. What representation terms would you propose?

How matching works

Tell us the building's location, size, and tenancy. With your permission, we introduce you to a commercial broker who can discuss your property and representation options. An inquiry does not create a representation agreement. Any brokerage services are provided by the receiving broker.

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More on selling commercial property or leasing commercial property in the Coachella Valley.