San Diego, CA – September 19, 2017 – The Government Real Estate Group of Cushman & Wakefield announced today the sale of the U.S. Department of Veterans Affairs (VA) Outpatient Clinic in Pahrump, Nevada, a 14,574 square foot, build-to-suit healthcare facility located adjacent to Desert View Hospital. The property features a new 15-year firm lease with the U.S. Federal Government, with a rare, non-cancellable lease structure. VA invested significant capital in this location, with Tenant Improvement costs exceeding $4.2 million. The property was acquired by a private investor completing a 1031 exchange, closing the transaction in 25 days on an all-cash basis.
“The Pahrump VA Clinic is a result of years of effort by political leaders to secure funding and the project developer to design and construct a much-needed VA clinic in Nye County, Nevada, which has a significant veteran population that previously had to travel over an hour in each direction to receive healthcare services at the VA hospital in Las Vegas,” said Travis Trautvetter, Vice Chairman of Cushman & Wakefield. “Despite the small market of Pahrump, the long-term Federal lease and location in the Western United States was attractive to both private and institutional capital, and allowed us to generate record pricing via a comprehensive marketing campaign.”
About Government Real Estate Group
The Government Real Estate Group (GRE Group) of Cushman & Wakefield is a specialized team focused exclusively on assets leased to government tenants located throughout the United States. GRE Group is the national market leader in investment sales of government properties, with transaction volume exceeding $3.5 billion and closings in 45 states.