HC Government Realty Trust, Inc., a Regulation A REIT that invests in federally leased properties, has purchased three office buildings located in Florida, Oklahoma, and Kansas, all built in 2018, for $17 million. Rooker, the seller, is an Atlanta-based developer that specializes in properties leased to the Federal government.
The Fort Lauderdale, Florida facility is a 16,000-square-foot, two-story building developed to meet the specific requirements of the U.S. Department of Homeland Security. The property is 100 percent leased under a 15-year commitment ending in April 2033.
The Oklahoma City, Oklahoma facility totals nearly 17,000 square feet and was also developed for DHS. The property is fully leased under a 15-year contract until December 2033.
The Lawrence, Kansas facility is a 16,000-square-foot building developed for the U.S. Geological Survey. The property is fully leased under a 15-year contract ending in February 2033.
“This portfolio acquisition is significant as we added over 14 percent to our total rental square footage and significantly extended HC Gov’s average lease maturity to over 10 years,” said Steve Hale, chairman and chief executive officer. “Each of these three properties fit our “bullseye” of first generation, mission-critical Federal government properties in strong MSAs under long firm-term leases.”
HC Government Realty Trust’s real estate portfolio currently includes 20 properties representing approximately 390,000 rentable square feet across 11 different agencies located in 13 states.