11309 Old Highway 49

Gulfport is the second-largest city in Mississippi after the state capital. Along with Biloxi, Gulfport is the co-county seat of Harrison County and the larger of the two principal cities of the Gulfport-Biloxi, Mississippi Metropolitan Statistical Area.The single tenant leased office investment is a build to suit for the Internal Revenue Service serving as a Taxpayer Assistance Center (TAC), one of more than 400 offices nationwide providing in person income tax assistance. The 10,905 square foot single story brick office was constructed in 2007, and a $458,000 renovation was completed in 2023 with an extended ten year lease term: December 4, 2021 to December 3, 2031. The renovation costs plus interest are repaid to the landlord amortized over the lease term, and with interest added will total $483,000. In addition to rent, the landlord is paid for operating expenses with an annual formula increase and increases of property taxes over a base year. Of the ten year lease term, eight years are firm term and the last two years allow an early lease termination (non-firm term). Early termination of the lease while permitted is rare. A third party study reported only 2.82% of GSA leases are terminated early, and one reason is a lack of expansion space. The 2.6 acre Gulfport site may be expanded.