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Office

Department of Labor - U.S. Mine Safety and Health Administration

1375 South 45 East, Price, UT 84501

Listing Price: $2,900,000

Cap Rate
7.13%
Gross SF
11,818
Rentable SF
11,818
Price/Gross SF
$245.39
Lot Size
1.43 acres
Year Built
2009

Investment Overview

M arcus & Millichap is pleased to offer for sale this single-tenant government office building occupied by the Department of Labor – Mine Safety and Health Administration (MSHA) located at 1375 South 45 East in Price, Utah. The property consists of a 11,818-square foot office building which was constructed in 2009 as a build-to-suit for the Department of Labor. The Department of Labor signed an early renewal for a 2nd generation 20-year lease with 10 years firm effective November 2023. The United States Department of Labor (DOL) is one of the executive departments of the U.S. federal government. It is responsible for the administration of federal laws governing occupational safety and health, wage and hour standards, unemployment benefits, reemployment services, and occasionally, economic statistics. It is headed by the Secretary of Labor, who reports directly to the President of the United States and is a member of the president’s Cabinet. The U.S. Department of Labor’s Mine Safety and Health Administration (MSHA) works to prevent mining injuries, illnesses, and fatalities, and promote safe and healthful workplaces for all U.S. miners. The agency name and its mission statement make clear that protecting both miners’ safety and health must be a priority. The agency develops and enforces safety and health rules for all U.S. mines regardless of size, number of employees, commodity mined, or method of extraction. MSHA also provides technical, educational, and other types of assistance to mine operators. They work cooperatively with industry, labor, and other federal and state agencies to improve safety and health conditions for all miners in the United States. This offering is ideal for an investor who is seeking a single credit tenant building occupied by the United States Government with low management and a high going-in capitalization rate of 7.13% with attractive pro-forma of 7.50% in the soft period. The cash-on-cash return in the firm term will be 7.16% based on the new available debt on a 75% loan-to-value at 5.90% fixed and amortized over 30 years.

Investment Highlights

  • Single Credit Tenant - United States Government Lease - Department of Labor - MSHA, AAA (Moody's) Credit Rating
  • Build-to-Suit Facility in 2009 for the Department of Labor - Mine Safety and Health Administration (MSHA)
  • Brand New 2nd Generation 20 Year Lease with 10 Years Firm signed 1 Year in Advance with an Effective Date of November 1, 2023
  • Attractive Going-In Capitalization Rate of 7.13% with a Pro-Forma Capitalization Rate of 7.50% in Years 11-20
  • Attractive Available Financing with 75% Loan-to-Value at 5.90% Amortized over 30 Years

Broker of Record

  • Adam Lewis

    Vice President/Regional Manager

    (303) 328-2000

    License(s) UT: 6250302-SA00

    Utah

Financing By

Office

Department of Labor - U.S. Mine Safety and Health Administration

Listing Price: $2,900,000

Cap Rate
7.13%
Gross SF
11,818
Rentable SF
11,818
Price/Gross SF
$245.39
Lot Size
1.43 acres
Year Built
2009

Investment Highlights

  • Single Credit Tenant - United States Government Lease - Department of Labor - MSHA, AAA (Moody's) Credit Rating
  • Build-to-Suit Facility in 2009 for the Department of Labor - Mine Safety and Health Administration (MSHA)
  • Brand New 2nd Generation 20 Year Lease with 10 Years Firm signed 1 Year in Advance with an Effective Date of November 1, 2023
  • Attractive Going-In Capitalization Rate of 7.13% with a Pro-Forma Capitalization Rate of 7.50% in Years 11-20
  • Attractive Available Financing with 75% Loan-to-Value at 5.90% Amortized over 30 Years

Investment Overview

M arcus & Millichap is pleased to offer for sale this single-tenant government office building occupied by the Department of Labor – Mine Safety and Health Administration (MSHA) located at 1375 South 45 East in Price, Utah. The property consists of a 11,818-square foot office building which was constructed in 2009 as a build-to-suit for the Department of Labor. The Department of Labor signed an early renewal for a 2nd generation 20-year lease with 10 years firm effective November 2023. The United States Department of Labor (DOL) is one of the executive departments of the U.S. federal government. It is responsible for the administration of federal laws governing occupational safety and health, wage and hour standards, unemployment benefits, reemployment services, and occasionally, economic statistics. It is headed by the Secretary of Labor, who reports directly to the President of the United States and is a member of the president’s Cabinet. The U.S. Department of Labor’s Mine Safety and Health Administration (MSHA) works to prevent mining injuries, illnesses, and fatalities, and promote safe and healthful workplaces for all U.S. miners. The agency name and its mission statement make clear that protecting both miners’ safety and health must be a priority. The agency develops and enforces safety and health rules for all U.S. mines regardless of size, number of employees, commodity mined, or method of extraction. MSHA also provides technical, educational, and other types of assistance to mine operators. They work cooperatively with industry, labor, and other federal and state agencies to improve safety and health conditions for all miners in the United States. This offering is ideal for an investor who is seeking a single credit tenant building occupied by the United States Government with low management and a high going-in capitalization rate of 7.13% with attractive pro-forma of 7.50% in the soft period. The cash-on-cash return in the firm term will be 7.16% based on the new available debt on a 75% loan-to-value at 5.90% fixed and amortized over 30 years.

Broker of Record

  • Adam Lewis

    Vice President/Regional Manager

    (303) 328-2000

    License(s): UT: 6250302-SA00

    Utah

Financing By

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