U.S. ARMY CORPS OF ENGINEERS

Tenant

U.S. Army Corps of Engineers

Location

Huntsville, AL

Price

Unstated

CAP Rate

Unstated

Lease Term

10 Years

Occupancy

100%

Building Size

151,565 SQ FT

Property Type

Office

Year Built

2007

Lot Size

25 Acres

Status

Sold

Property Contacts:

Travis Trautvetter

Vice Chairman

858 367 5105 | Email

Jake Trautvetter

Capital Markets

858 558 5624 | Email

Kari Fiske

Brokerage Coordinator

858 334 4032 | Email

AAA CREDIT TENANCY
Exceptional tenant credit with lease guaranteed by United States of America, featuring an Aaa credit rating

NEW, LONG-TERM, FIRST-GENERATION GSA LEASE
New 10-year, first-generation lease with U.S. Federal Government, providing strong long-term income and high renewal probability

RELOCATION AND CONSOLIDATION FOR US ARMY CORPS OF ENGINEERS
Relocation and consolidation of US Army Corps Engineering and Support Center

EXCELLENT HUNTSVILLE LOCATION
Prime location in Huntsville, Alabama, a key hub for the federal government, defense and government contractors, and home to 46 Fortune 500 companies

EXCEPTIONAL PARKING RATIO
8 spaces per 1,000 square feet, providing an exceptionally high parking ratio

STRONG SUBMARKET FUNDAMENTALS
Adjacent to Cummings Research Park, a market area with strong fundamentals and vacancy rate of only 6.4%

The U.S. Army Corps of Engineers (USACE) Engineering and Support Center in Huntsville, Alabama is a 100% occupied, single-tenant facility consisting of 151,565 rentable square feet.

The U.S. Army Engineering and Support Center serves the U.S. Forces, their families and the nation by providing specialized technical expertise, global engineering solutions, and cutting edge innovations through centrally managed programs in support of national interests.

USACE Engineering and Support Center is leased for a new 10-year, first-generation term with the U.S. General Services Administration (GSA), guaranteed via the Aaa credit rating of the United States of America, and further benefitting from a strong probability of lease renewal. GSA has a long-standing reputation as a tenant with one of the highest possible renewal rates, with historical data published by GSA reflecting a retention rate that typically exceeds 95% across their portfolio of over 8,000 leases nationwide.

This facility is a relocation and consolidation of USACE operations and personnel from within the Huntsville market, serving as a new, long-term home for the Engineering and Support Center. Previously housed for over 20 years at University Place in Huntsville, the Huntsville Engineering and Support Center has increased from 600 permanent employees to over 1,000 employees today, as the need for support for the Department of Defense and other federal agencies has grown. Due to this significant employee growth and conditions of the previous facility, the Huntsville Center required a new location. Over 600 employees moved to the new Engineering and Support Center in early 2019 as part of the initial relocation process, and USACE has stated plans to complete their consolidation of the remaining employees into the new location.

Col. John Hurley, Huntsville Center Commander, stated in a recent Army Corps press release “The health and welfare of our employees is my top priority and the new facility provides a clean, professional workspace…our ultimate goal is having all our employees under one roof.”

To read the full press release, please click on the following link: Huntsville USACE Press Release

Originally constructed in 2007, this facility is situated in a prime location in Huntsville, adjacent to the Cummings Research Park (CRP), which is the second largest research park in the United States and fourth largest in the world.

CRP is home to nearly 300 companies with more than 26,000 employees and 12,5000 students, with major industries of aerospace, defense, engineering, biotechnology, advanced manufacturing, software development, information technology, and cyber security.

The CRP submarket has excellent fundamentals, and a vacancy rate of only 6.4%. Neighboring tenants include the federal government’s Defense Acquisition University, Raytheon, Northrop Grumman, Boeing, US Space and Rocket Center, and the University of Alabama Huntsville. Huntsville itself is home to 46 Fortune 500 companies, making it a prominent area for business operations.