The U.S. Department of Veterans Affairs (VA) Outpatient Clinic in Rochester, Minnesota is a new, single-tenant, 18,338 square foot healthcare facility, which serves Veterans in Southeast Minnesota, with over 4,500 enrolled at this location. Over $2.83 million in tenant improvements were paid in lump sum by the VA at project completion in 2019, demonstrating the tenant’s significant investment and commitment to this clinic. The Rochester VA Clinic is leased via a new 20-year lease term, commencing in 2019, and featuring a rare federal lease structure with base rent increases occurring every three years throughout the term. The lease is guaranteed by the full faith and credit of the United States of America, which has a credit rating of Aaa from Moody’s Investor Services and offers unrivaled income security. The GSA has a long-standing reputation as a tenant with one of the highest possible renewal probabilities in the commercial real estate industry. Historical data published by the GSA regarding their portfolio of over 8,000 leases nationwide reflects a retention rate which typically exceeds 95%. An expansion and relocation of the previous VA Clinic in Rochester, the new clinic provides primary care, mental health services, immunizations, tele-healthcare, laboratory services, minor procedures, women’s health care, OEF/OIF services, radiology/imaging, EKGs, and pharmacy management. Redevelopment of an existing shell building was completed in 2019, constructed according to the specific requirements and specifications of VA. This facility was designed in accordance with the VA’s Patient Aligned Care Team (PACT) model, providing personalized, proactive, patient-driven care. The Rochester VA Clinic benefits from a central location with excellent access, located directly off of US Highway 63 and surrounded by national tenants and a diverse base of commercial businesses and services. The subject property is located approximately 5 miles from the flagship hospital and headquarters of the renowned Mayo Clinic, the Number 1 ranked hospital in the United States by U.S. News and World Report. Additionally, Mayo Clinic leases space in the same commercial center in which the Rochester VA Clinic is located.