Government Lease Holdings 2, DST (GLH 2) is a two-property portfolio under a Delaware Statutory Trust structure comprising mission-critical facilities leased long term to government agencies. The assets are located in the Winston-Salem metropolitan statistical area and the Washington, D.C. metropolitan area. The Winston-Salem asset is a 353,238-square-foot build-to-suit outpatient care facility occupied by the Department of Veterans Affairs. The Washington, D.C. asset is a 574,767-square-foot build-to-suit office building occupied by the U.S. Citizenship and Immigration Services. Both properties were developed specifically for their tenants in 2015 and 2020, respectively, and are reported to be in good condition with minimal immediate repair needs, with the USCIS property designated as a Level IV secured building.

Leases are long term, with more than ten years remaining on each, and are with the General Services Administration, which leases space and sublets to other government entities. The GSA portfolio comprises a substantial public sector real estate footprint, supporting tenancy for multiple federal agencies.

The sponsor, Net Lease Capital Advisors (NLCA), is a real estate investment and advisory firm that specializes in net lease and U.S. government-occupied properties. NLCA has executed more than $16 billion in real estate transactions and has participated in 34 DST programs, which have raised over $1 billion of equity over the firm’s history since 1996.

Contextual notes include the growing veteran population in the Piedmont Triad region, as reported by the VA, which is expected to increase demand for ambulatory care services, and the USCIS consolidation of its headquarters from five leased locations and one federal asset to the Camp Springs facility, centralizing operations.