State of California
Sacramento, CA
Unstated
Unstated
10 Years
99%
399,636 SQ FT
Office
1987
3.42 Acres
Sold
HIGHLY COMPETITIVE OFFER PROCESS
Sold to institutional investor in an all-cash transaction
LONG-TERM LEASE WITH STATE OF CALIFORNIA
New 10-year lease renewal with State of California, demonstrating tenant’s long-term commitment to the facility
HEADQUARTERS FACILITY FOR CALIFORNIA DEPT OF CORRECTIONS & REHABILITATION
399,636 square foot office building, serving as headquarters for California Department of Corrections and Rehabilitation, the largest agency within the State with over 66,000 employees, and headquarters for California Department of Human Resources
EXCEPTIONAL LOCATION IN DOWNTOWN SACRAMENTO
Prime positioning within downtown Sacramento, located in close proximity to State Capitol, and directly across from the new, transformative Ice Blocks development featuring 260,000 sq ft of mixed-use retail, residential, and office, revitalized R-Street Corridor, and one of the few CBD buildings with a dedicated light-rail stop
VALUABLE ON-SITE PARKING GARAGE
Eight-story parking garage with 759 stalls, providing significant value in a dense, urban environment, and a growing income stream as the only garage of this scale in the midtown area
1515 S Street is a two-building, 399,636 square foot office project with an attached eight-story parking garage. The Property is 98% leased to the State of California (S&P: AA-) which has occupied the Property for over 30 years and recently signed a new 10-year lease term, demonstrating a continued long-term commitment to the location.
This facility serves as the headquarters for two State of California agencies, the Department of Corrections and Rehabilitation (CDCR) and the Department of Human Resources (CalHR). As the original tenant of the Property, CDCR has executed multiple extensions and expansions during their tenure to become the largest occupant (72% of RSF), with CalHR leasing the remainder of the State premises (26% of RSF).
1515 S Street is located within half of a mile from the State Capitol, and is situated in the heart of the burgeoning R Street Corridor, Sacramento’s most thriving shopping, dining, and entertainment district. With an irreplaceable transit-oriented location, investment grade tenancy, annual rent growth, on-site parking, and institutional-quality design, this asset provides an exceptional combination of sustainable cash flow and appreciation potential.
