SSA Selma, Alabama

Selma, Alabama with a population of 17,600, is the Dallas County seat with a population of 37,600 and is located in central Alabama, 50 miles east of Montgomery and 80 miles south of Birmingham.The single tenant leased office investment is a build to suit for the Social Security Administration serving as a field office. The 13,421 square foot single story brick building was constructed in 2003 with substantial renovation in 2018. The renovation costs plus interest are repaid to the landlord amortized over the lease term at $87,474 per year through May 2029. In addition to rent, the landlord is paid for operating expenses with an annual CPI formula increase and increases of property taxes over a base year. The lease term is through November 11, 2033 with firm term through November 11, 2028, after which the lease may be terminated early. A third party study reported only 2.82% of GSA leases are terminated early, and one reason is a lack of expansion space. The 2.28 acre site is expandable.