Investment Overview

Marcus & Millichap is pleased to present this two-story, single-tenant office building located at 508 South Race St., Urbana, Illinois. The property features a 10,800-square-foot masonry office building, constructed in 1989, and currently leased to the Illinois Department of Children and Family Services (DCFS). The building is well-maintained, with recent updates including improvements to the ADA-compliant elevator. The interior has also been refreshed, featuring new paint, deep-cleaned carpets, new ceiling tiles, cleaned light covers, and a rebalanced HVAC system for increased efficiency back in 2019. The tenant recently renewed their lease for an additional five years, extending through April 30, 2029. The modified gross lease begins on May 1, 2024. The lease also incorporates an inflation guard, with 2 percent rent escalations in years two and four. Urbana, located in east-central Illinois, is best known as the home of the University of Illinois at Urbana-Champaign. The city's economy is diverse, with key sectors including technology, education, healthcare, and agriculture, all influenced by the presence of the university. This proximity has also spurred the development of research-driven businesses and startups.