Succeeding lease - Appleton CBOC
Overview
Buyer
Place of Performance
NAICS
PSC
Set Aside
Original Source
Timeline
Qualification Details
Fit reasons
- NAICS alignment with historical contract wins in similar service areas.
- Scope strongly matches core technical capabilities and delivery model.
Risks
- Past performance thresholds may require one additional teaming partner.
- Potential clarification needed on staffing minimums before bid/no-bid.
Next steps
Validate eligibility requirements, assign capture owner, and schedule partner outreach to confirm teaming strategy before submission planning.
Quick Summary
The Department of Veterans Affairs (VA) has awarded a 10-year succeeding lease for the Appleton Community-Based Outpatient Clinic (CBOC) in Appleton, WI. This award, effective April 1, 2025, through March 31, 2035, was made to the incumbent Lessor via a Justification for Other Than Full and Open Competition (JOFOC).
Scope of Lease
The lease provides approximately 41,036 Rentable Square Feet (RSF), equating to 35,718 American National Standards Institute/Building Owners and Managers Association (ABOA) Square Feet, to support a comprehensive range of medical services. These services include Primary Care, Physical Therapy, Lab Services, Imaging Services, Eye Care, Cardiology, Pharmacy, and administrative functions. The facility is strategically located within a delineated area defined by Hwy 41 (North), Hwy 441 (East), Hwy 441 (South), and County Rd. CB (West) in Appleton, WI.
Contract Details
This is a succeeding lease with a 10-year term, comprising 7 firm years and 3 non-firm years. The current lease is set to expire on March 31, 2025. While the total contract value is not fully specified, the anticipated rental rate for this fully serviced lease has been determined to be fair, reasonable, and below the market range.
Justification & Market Research
The award was made on a sole-source basis under the authority of 41 U.S.C. 3304(a)(1) and GSAR 570.402 (Succeeding Leases). The justification cites that awarding to any other offeror would result in substantial duplication of costs to the Government, primarily due to relocation and replication expenses. Market research included a sources sought advertisement on SAM.gov (November 1, 2024, for seven days) and research using CoStar, USPA, and GSA Inventory. The incumbent Lessor expressed interest and provided a specific rate, which was evaluated against market comparables.
Additional Notes
The existing building was purpose-built for the CBOC and remains in acceptable condition, with the Lessor's performance under the current lease being satisfactory. The VA's long-term strategy involves consolidating facilities, making it economically disadvantageous to relocate the Appleton CBOC at this time. No other sources expressed written interest during the market research phase.