24,312 SQ FT
Veterans Affairs & Yuba City College
Property is leased on a long-term basis to the U.S. Department of Veterans Affairs and Yuba City Community College District
100% LEASED TO CREDIT TENANTS
U.S. Federal Government and Yuba Community College District feature investment-grade credit ratings
ANNUAL RENT INCREASES
Attractive lease structures with annual rent increases, providing excellent income growth
Situated in downtown Yuba City, adjacent to Sutter Yuba City Medical Center
RARE GOVT-LEASED OFFERING IN CALIFORNIA
Rare opportunity to acquire a government-leased asset located in California
The Yuba City Veterans Affairs Outpatient Clinic and Yuba Community College District Headquarters is a 24,312 two-story office building located in downtown Yuba City, California that is 100% occupied by two government tenants on long-term leases.
The property is exceptionally well-located, situated on Plumas Boulevard, the primary arterial in Yuba City, adjacent to Sutter Surgical Hospital and the campus of Sutter Yuba City Medical Center. This location is in the epicenter of health care for the Yuba City MSA, which has a population of approximately 165,000.
The U.S. Department of Veterans Affairs (VA) occupies the first floor of the facility, which was built out to accommodate the specific needs of the tenant, with a significant investment by the VA of approximately $1,835,000. There are over 5 years remaining on the original 10-year lease term. The lease includes rare scheduled annual base rent increases, providing exceptional income growth, and is guaranteed by the United States of America, which has a credit rating of Aaa from Moody’s Investor Services.
Yuba Community College District (YCCD) has executed a new 10-year lease term for the second floor of the building, which is structured as a triple net lease with tenant responsible for all expenses associated with their percentage of occupancy. YCCD spans eight counties in north-central California, and is comprised of Yuba College and Woodland Community College, which counted 7,611 full time students in the most recent available year (2015).