Anduril HQ Sale Signals $400M Bet on SoCal Defense Tech

Southern California’s New CRE Bright Spot

Anduril Industries’ headquarters in Costa Mesa is up for sale, with the property poised to become Southern California’s largest office deal this year, per Bloomberg. The campus—measuring 634,000 SF and fully leased by Anduril—offers a rare combination of scale, creditworthiness, and long-term stability for would-be institutional buyers. The site, previously a Los Angeles Times printing plant, was acquired by Invesco and SteelWave in 2017 and has since seen extensive renovations, completed in 2023. Marketing is led by Eastdil Secured, and sources point to an expected sale price near $400M.

This comes at a time when Southern California’s defense tech ecosystem is accelerating, buoyed by federal spending and a surge in venture capital. The region’s office market has otherwise been weighed down by lackluster activity in Hollywood and other sectors—making large, stable deals highly prized in 2026.

The End of ‘Extend and Pretend’ in Office Value

Costa Mesa’s Anduril campus marks a shift away from the distressed-fueled narratives that have defined US office headlines since 2021. Invesco and SteelWave secured a $251M loan from PIMCO last September, supporting a likely property value near $400M, as CRE loans typically hit around 65% LTV. The site stands out as a 100% occupied, purpose-renovated asset with a blue-chip tenant on a 13-year lease—characteristics virtually absent from recent West Coast transactions. By comparison, Los Angeles’ biggest office sale this year—the $210M Bank of America Plaza transaction—did not feature a single tenant of this scale or stability.

The Details

The Anduril headquarters totals 634,000 SF of office and research space in Costa Mesa, CA, southeast of Los Angeles. Invesco and SteelWave paid $65M for the property in 2017 and invested in a full-scale overhaul, completing work in 2023. Anduril currently occupies the entire campus as its global headquarters, with 13 years remaining on its lease term, according to marketing collateral reviewed by Bloomberg. There is no public asking price, but valuation indications stem from the $251M mortgage on the property, which aligns with CRE norms for an asset of this profile. Eastdil Secured is representing the listing. Anduril, founded in 2017, develops AI-driven drones and autonomous defense systems, and currently boasts a $61B valuation as of May 2026 after a Thrive Capital/Andreessen Horowitz-led round.

Southern California Defense Tech Outpaces Other Sectors

Anduril’s offering comes amid a defense tech boom. US defense tech startups raised $11.4B by mid-June 2026. That more than doubled 2025’s pace, according to PitchBook.

Anduril raised $7.5B over the past year. It plans a $1B manufacturing facility in Long Beach. It also plans a 5M-SF combat aircraft campus in Ohio.

Meanwhile, Southern California’s entertainment and creative office markets remain soft. Marty Pupil, executive managing director at Stream Realty Partners, said tenant strength drives the offering. He noted that few office listings from this era show similar dynamics.

Why It Matters

The sale could set a pricing benchmark for trophy CRE. The region still faces distress and weak fundamentals. Anduril signed a 13-year lease and maintains deep government ties. Ongoing capital raises also support the asset.

As a result, the campus appeals to major US and foreign institutions. A $400M sale could improve sentiment for high-quality net-leased office assets in SoCal. It also contrasts with skepticism toward multi-tenant Class A offices in Los Angeles and Orange County.

The deal also highlights defense tech’s growing role in California. Office turbulence has not reduced demand for specialized assets. Investors still favor tenants with durable revenue and government contracts. That demand has also boosted interest in secure campuses and facilities built for defense-focused tenants.

According to Colliers, the $210M Bank of America Plaza sale was this year’s largest office trade. The Anduril campus could nearly double that total. The gap is clear. Blue-chip tenants and mission-critical uses command premium pricing, while traditional office assets struggle.

What’s Next

Bidders will likely include US pension funds, sovereign wealth funds, and large institutions. Brokers expect the tenant profile and deal size to limit competition.

If pricing stays above $400M, the sale could renew interest in mission-driven campuses. That is especially true in markets supported by federal spending, such as Southern California.

For the broader market, the deal will serve as a key test. Strong pricing could encourage more defense tech transactions. It may also support cautious optimism for select West Coast office markets in late 2026.