U.S. MEPS

Price

Unstated

NOI

$377,938

Building Size

23,663 SQ FT

Tenant

U.S. Military Entrance Processing Command

Occupancy

100%

Property Type

Office

Year Built

2002

Lot Size

2.26 Acres

Status

Sold

Lease Term

10 Years

Property Contacts:

Travis Trautvetter

Vice Chairman

858 558 5609 | Email

LONG-TERM LEASE
Property is leased for a new 10-year term, with two 5-year renewal options

Aaa CREDIT TENANCY
Lease is guaranteed by the United States of America, which has a credit rating of Aaa from Moody’s Investor Services

SCHEDULED RENT INCREASES
Lease includes scheduled rent increases every 5 years

DESIRABLE PORTLAND LOCATION
Central location adjacent to Portland International Airport

RARE GSA OFFERING IN PACIFIC NORTHWEST
Rare opportunity to acquire a federally-leased asset located in the Pacific Northwest

The United States Military Entrance Processing Station (MEPS) in Portland, Oregon is a single-tenant, 23,663 square foot facility that was built-to-suit for the tenant in 2002. This MEPS facility benefits from a central, convenient location in immediate proximity to Portland International Airport and two major freeways. As one of 65 MEPS locations throughout the United States and Puerto Rico, the Portland MEPS serves the mission of processing individuals for enlistment or induction into the armed services, evaluating aptitude for military service, physical qualification, and background evaluation screening.

The General Services Administration (GSA) lease for this facility was recently renewed for a new 10-year term, with two 5-year options to renew. The lease includes rare scheduled base rent increases, occurring every 5 years during the primary term and option periods. The lease is guaranteed by the United States of America, which has a credit rating of Aaa from Moody’s Investor Services. The GSA has a long-standing reputation as a tenant with one of the highest possible renewal probabilities in the commercial real estate industry. Historical data published by the GSA regarding their portfolio of over 8,000 leases nationwide reflects a retention rate which typically exceeds 95%.

The Portland MEPS facility presents a rare opportunity to acquire a federally-leased asset located in the Pacific Northwest, and an attractive location within the largest city in the state of Oregon. In addition to being positioned immediately to the south of Portland International Airport, the property is located nearby major national retailers and hoteliers, and is situated directly across from the FBI Field Office in Portland.

The offering consists of a leasehold interest in the subject property. The underlying land is owned by the Port of Portland, and is subject to a long-term, ground lease with a primary term through June 30, 2056, with one 20-year option to extend the lease, providing approximately 60 years of remaining site control.