SAN MARCOS —— They won't bring in the big bucks or cause big debates, but a recent increase in the number of office buildings going up around San Marcos will create more high-paying jobs in town, according to developers and city officials.

Private developers plan to build at least five large office buildings in the next couple of years, with several complexes near San Marcos Boulevard and others off Twin Oaks Valley Road. The structures, combined, are expected to provide about 200,000 square feet of office space for private businesses, and city officials said they are excited about the benefits the offices could bring to town.

"First and foremost it will establish San Marcos as a very desirable upscale business location," said Paul Malone, San Marcos' assistant city manager. "We've been pitching San Marcos for a long time as a place for office space, and we're not surprised by the interest in offices."

Office buildings don't bring in sales tax revenue for the city like retail does, but Development Services Director Charlie Schaffer said the offices will attract more businesses and employees who will spend money in the city.

He also said the projects fall within redevelopment zones and provide increased property tax revenue for the city.

"It's the right type of use for each area," Schaffer said. "We are also excited about keeping people living and working in the community."

Location a plus

The fact that this growing city of 70,000 straddles the Highway 78 corridor and has booming retail and residential sectors has made it an attractive spot for office buildings, according to local developers.

Malone said two large office buildings near the Civic Center were the last major office complexes built in San Marcos, and city planner Jim Hernandez said there is a need for more.

"This is a portion of the community that has been sorely lacking for years, and the city has finally matured to the point where the time has come," said Hernandez, whose firm, HB&A Architects, helped design an office building under construction on Boardwalk Street.

The 39,000-square foot, three-story office building on the north side of Boardwalk near Restaurant Row is expected to be complete by the end of the year. And the same developer, North Point Ventures, hopes to start breaking ground on a 35,000-square-foot office building on the other side of the street later this year, according to the company's owner, Jeff McCormack.

"The city has been extremely accommodating and very easy to work with," said McCormack. "I think San Marcos can become a business hub of North San Diego County."

McCormack said San Marcos is an attractive city for office space because it's a "bargain compared to other coastal areas."

McCormack also said the 18 suites in the first building have already been filled with businesses such as attorneys, accounting firms, investment groups and computer technology companies.

Unlike most office buildings in which tenants rent space, businesses will buy the suites in the complex, much as residents buy condominiums instead of renting apartments.

"We sold out before we even put a shovel in the ground," McCormack said. "I think there is a strong demand in San Marcos for this type of office."

Other buildings

Another office building where tenants can buy instead of rent space is planned for the corner of Discovery Street and San Marcos Boulevard. Jim Simmons of San Marcos-based Consultants Collaborative said they plan to start construction this summer of a 42,000-square-foot building with about 22 suites designed for doctors.

"San Marcos doesn't have a lot of office space, and they have room for a lot more," said Simmons. "The whole City Hall complex set the standard for high-quality offices in the city."

Across from the Civic Center, developer Michael McDonald completed a 53,000-square-foot, three-story office building in 2001 and an additional 70,000-square-foot, four-story office building in 2003. McDonald said they were the first high-quality office buildings constructed since the city put in about 55,000 square feet of office space into the Civic Center in 1993.

The developer said the buildings, which are owned and run by the city, were both completely full within seven months of their completion with tenants such as State Farm Insurance Co. and Richmond American Homes of California.

Offices have been so successful in the area, Malone said, that the city insists a project for the vacant lot on the southwest corner of Twin Oaks Valley Road and San Marcos Boulevard include 25,000 square feet of office space.

Taking a chance

Malone credits McDonald with being the first developer willing to take a chance on office space in San Marcos, and McDonald said developers have only started to tap into the market.

"I don't think there is a comparable location anywhere along the Highway 78 corridor that is as convenient to service the North County area," McDonald said. "The only other substantial office markets are in Carlsbad or Rancho Bernardo, and both make it difficult to service the entire North County area."

McDonald said his first buildings were such a success that he plans next year to build a four-story, 70,000-square-foot office building on Carmel Street just east of Twin Oaks Valley Road and south of Highway 78.

The developer said he expects the building to attract a lot of skilled people and serve as corporate headquarters for small and medium-size firms.

"I might soon move my office to San Marcos after I complete the next building," McDonald said. "I don't think there is any question that these buildings will bring jobs to San Marcos."

Contact staff writer David Sterrett at (760) 761-4411 or dsterrett@nctimes.com.