214 & 216 Industrial Ct

Investment Overview

214 and 216 Industrial Court is a two-lot industrial holding totaling 1.98 acres in Spotsylvania Industrial Park at Four Mile Fork, Fredericksburg, Spotsylvania County. The 1.00-acre lot at 216 Industrial Court holds a 6,008 square foot office and flex building, built in 1983 and leased to Rappahannock Electric Cooperative. REC is a member-owned electric cooperative serving central and northern Virginia, headquartered on the same street at 247 Industrial Court. It has occupied the building since 2012 and has extended its lease six times. The current term runs to January 31, 2028 at $129,600 per year, or $10,800 per month, with a 3% annual increase and a one-year renewal option. The lease is gross: REC maintains its premises while ownership pays real estate taxes and insurance. In-place NOI is $121,034, priced at $1,860,000 for a 6.51% cap rate. The adjoining 0.98-acre lot at 214 Industrial Court is included in the sale and is zoned I-1 Industrial. It can support an industrial outdoor storage yard, a second flex building, or an expansion site for REC's operation next door. Ownership is pursuing approvals for outdoor storage on that lot. The two parcels are tax maps 23G-1-10 and 23G-1-11. This property is offered individually and as one of three assets in SRG's Northern Virginia Utility-Leased IOS Portfolio, 10.52 acres across Fauquier, Prince William and Spotsylvania Counties that is 100% leased to Rappahannock Electric Cooperative and Dominion Energy Virginia. The portfolio is priced at $20,800,000 at a 6.50% cap rate, and a buyer may acquire this property on its own or all three together. Lease copies are available to qualified buyers on request.

Investment Highlights

• Leased to Rappahannock Electric Cooperative since 2012, six extensions
• NOI of $121,034 at a 6.50% cap rate
• 6,008 SF office and flex building on 1.00 AC
• Adjoining 0.98 AC I-1 lot for IOS, a second flex building or REC expansion
• Outdoor storage approvals being pursued on the 214 lot
• Also offered as part of a three-property utility-leased portfolio