Property Details for 1501 O St

Year built

2023

Lot size

1.25 lot acres

Property size

11,511 SF

Property type

Office properties & Spaces

Property subtype

Medical Office Space

Description

This exceptional investment opportunity presents a fee-simple interest in a brand-new, single-tenant medical office building located in Auburn, Washington. The 11,511-square-foot building, constructed in 2023, sits on a 1.25-acre lot and is 100% occupied by DaVita, Inc. under a 15-year net lease with three, five-year renewal options. The lease commenced July 28, 2023, and includes a 10% rent increase every five years, providing significant long-term growth potential. The property boasts a 5.50% cap rate and a strong NOI of $452,152, with a current asking price of $8,220,947 ($714.18/sq ft). The tenant, DaVita, is a nationally recognized leader in the kidney care industry, providing a corporate guarantee for lease performance. This is a relocation of an existing, successful operation, ensuring consistent occupancy. The building is strategically located in a high-income area within the Seattle MSA, near major transportation arteries (Valley Freeway and WA-18) and a dense retail corridor. The property benefits from a favorable lease structure with minimal landlord expenses and no early termination clauses. Washington state's income tax-free status further enhances the investment's attractiveness. The tenant's build-to-suit design reflects the highest standards in patient care and energy efficiency. This is a rare opportunity to acquire a high-quality, passively managed asset with exceptional long-term growth prospects in a thriving market.

Location Insight

City

Auburn

County

King

State

Washington

Longitude

-122.25

Latitude

47.2957