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Government

State of Indiana - Division of Family Resources

6525 Columbia Ave, Hammond, IN 46320

Listing Price: $2,270,714

Cap Rate
6.25%
Tenant Name
State of Indiana - Family Resources
Years Remaining On Lease
7.6
Gross SF
8,400
Guarantor
State Agency
Rentable SF
8,400
Price/Gross SF
$270.32
Lease Type
Full Service Gross with Expense Stops
Rent Per Square Feet
$24.59

Investment Overview

Marcus & Millichap is pleased to offer the subject property for sale featuring the Division of Family Resources, State of Indiana, as the tenant, an investment grade opportunity.

Tenant recently entered into a 10-year lease which included major renovations to the property for the tenant's specific desires. Renovations included completely gutting the interior of the building down to the structure and installing new electrical wiring, plumbing, ductwork, interior walls, ceiling tile, trim work, flooring, etc. In addition the roof was replaced and there is a transferable roof warranty until 2036.

The full-service lease is backed by the State of Indiana, which is an investment grade caliber guarantee.
The lease has expense caps protecting the Landlord from downside risk on unforeseen expenses. In addition, the site has received property tax exemption status further reducing additional risk to the Landlord. The lease also states that the tenant is responsible for reimbursing for all property taxes, in the unlikely event that the tax exemption status should be removed.

While the tenant does have termination clauses tied to annual budgeting, the essential nature of the services provided at this facility make it very unlikely that the would not continue for the long term.

The Division of Family Resources is responsible for establishing eligibility for Medicaid, Supplemental Nutrition Assistance Program and Temporary Assistance for Needy Families benefits. The division also managers the timely delivery of SNAP and TANF benefits.
DFR also provides employment and training services to some SNAP and TNF recipients. The division's overarching focus is the support and preservation of families by emphasizing self-sufficiency and personal responsibility.

Investment Highlights

  • Lease Backed by State of Indiana - Investment Grade Guarantee
  • Division of Family Resources Provides Absolutely Essential Public Services
  • Recent New 10-Year Lease
  • Major Renovation Recently Done For Tenant's Specific Needs
  • New Roof With Transferable Warranty Until 2036
  • Full Service Lease With a CAP on Landlord's CAM Exposure
  • Property Received Tax Exemption Status

Exclusively Listed By

Broker of Record

  • Josh Caruana

    First Vice President/District Manager

    (317) 218-5300

    License(s) IN: RB14034355

    Indiana

Financing By

Government

State of Indiana - Division of Family Resources

Listing Price: $2,270,714

Cap Rate
6.25%
Tenant Name
State of Indiana - Family Resources
Years Remaining On Lease
7.6
Gross SF
8,400
Guarantor
State Agency
Rentable SF
8,400
Price/Gross SF
$270.32
Lease Type
Full Service Gross with Expense Stops
Rent Per Square Feet
$24.59

Investment Highlights

  • Lease Backed by State of Indiana - Investment Grade Guarantee
  • Division of Family Resources Provides Absolutely Essential Public Services
  • Recent New 10-Year Lease
  • Major Renovation Recently Done For Tenant's Specific Needs
  • New Roof With Transferable Warranty Until 2036
  • Full Service Lease With a CAP on Landlord's CAM Exposure
  • Property Received Tax Exemption Status

Investment Overview

Marcus & Millichap is pleased to offer the subject property for sale featuring the Division of Family Resources, State of Indiana, as the tenant, an investment grade opportunity. Tenant recently entered into a 10-year lease which included major renovations to the property for the tenant's specific desires. Renovations included completely gutting the interior of the building down to the structure and installing new electrical wiring, plumbing, ductwork, interior walls, ceiling tile, trim work, flooring, etc. In addition the roof was replaced and there is a transferable roof warranty until 2036. The full-service lease is backed by the State of Indiana, which is an investment grade caliber guarantee. The lease has expense caps protecting the Landlord from downside risk on unforeseen expenses. In addition, the site has received property tax exemption status further reducing additional risk to the Landlord. The lease also states that the tenant is responsible for reimbursing for all property taxes, in the unlikely event that the tax exemption status should be removed. While the tenant does have termination clauses tied to annual budgeting, the essential nature of the services provided at this facility make it very unlikely that the would not continue for the long term. The Division of Family Resources is responsible for establishing eligibility for Medicaid, Supplemental Nutrition Assistance Program and Temporary Assistance for Needy Families benefits. The division also managers the timely delivery of SNAP and TANF benefits. DFR also provides employment and training services to some SNAP and TNF recipients. The division's overarching focus is the support and preservation of families by emphasizing self-sufficiency and personal responsibility.

Exclusively Listed By

Broker of Record

  • Josh Caruana

    First Vice President/District Manager

    (317) 218-5300

    License(s): IN: RB14034355

    Indiana

Financing By

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