Easterly Government Properties announces purchase of North Jacksonville VA Clinic

The Washington D.C.-based real estate investment trust says the acquisition is part of a deal to buy 10 VA properties for $635.6 million.


  • By Monty Zickuhr
  • | 3:49 p.m. September 3, 2024
  • | 4 Free Articles Remaining!
The Jacksonville North VA Clinic and Domiciliary is at 145 Heron Bay Road along Max Leggett Parkway northeast of UF Health North and River City Marketplace.
The Jacksonville North VA Clinic and Domiciliary is at 145 Heron Bay Road along Max Leggett Parkway northeast of UF Health North and River City Marketplace.
Photo by Monty Zickuhr
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Easterly Government Properties Inc. announced Sept. 3 it bought the Jacksonville North VA Clinic and Domiciliary in North Jacksonville.

The VA facility, which cost $64.2 million to develop, opened in April at 145 Heron Bay Road along Max Leggett Parkway northeast of UF Health North and River City Marketplace.

Easterly did not disclose the price. The Duval County Clerk of Court has yet to record the sale. Records show the clinic property owner as Kansas City-based US Federal Properties Trust through Jacksonville VA OPC LLC. It acquired the site in 2020 for $8.424 million.

Easterly, headquartered in Washington D.C., is a real estate investment trust focused primarily on the acquisition, development and management of Class A commercial properties leased to the U.S. government.

Easterly said the Jacksonville acquisition was a joint venture of a portfolio of 10 properties leased to the Department of Veterans Affairs. It announced the portfolio deal in 2021 and said the total purchase price was about $635.6 million.

Nine of the 10 properties have 20-year leases, including the Jacksonville clinic, and one has a 15-year lease. Together, they total 1.21 million square feet of space. All were delivered to the VA no later than 2020.

Easterly says it has a 53% stake in the joint venture. The other 47% is by what is called a leading global investor.

“The Department of Veterans Affairs provides mission critical support for our nation’s military heroes, and we are proud to facilitate its healthcare service capabilities through the acquisition of this asset,” said Darrell Crate, Easterly’s Chief Executive Officer in a Sept. 3 news release. “With the completion of the 10 property VA portfolio, we continue to execute on our external growth strategy and remain well positioned to deliver value for our shareholders.”

The VA Choice and Quality Employment Act of 2017 authorized construction of the Jacksonville North VA Clinic and Domiciliary and the project broke ground in 2021.

The outpatient clinic is 164,000 square feet. It has 101 patient care rooms. Twelve are dedicated to women’s health. There are 62 mental health patient care rooms. The physical therapy area is 2,200 square feet with six patient care rooms. There are optometry and audio stations.

The domiciliary will serve homeless veterans, those needing substance abuse treatment or have serious mental illness. It has 30 beds with 19 resident support rooms and 17 patient care rooms. It has a teaching kitchen.

Easterly says it operates 94 properties totaling 9.2 million square feet of leased space. It trades on the New York Stock Exchange as DEA. It closed Sept. 3 at $13.25 per share.

 

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