Northrop Grumman Systems Corporation | Build-to-Suit Facility

Property Description

This three-story, brick clad Class A office building was constructed in 2012 as a build-to-suit for Northrop Grumman Systems Corporation, a BBB+ (S&P)-rated wholly owned subsidiary of Northrop Grumman Corporation, one of the largest defense contractors in the world. Situated on a 6.73 acre site, the property consists of 99,246 square feet of net rentable area.

Business Essential Attributes

The property is located immediately adjacent to Wright-Patterson Air Force Base, the largest Air Force Base in the United States. Maintaining close proximity to a base is a requirement for defense contractors intending to conduct business with the Air Force. The property contains nine individual Sensitive Compartmented Information Facilities ("SCIF's"), highly secure, eaves-dropping-proof rooms that companies engaged in defense-related activities are contractually required to provide. 

In addition to the expense borne by Northrop Grumman Systems Corporation to construct the SCIFs, it spent well in excess of $1.0 million for above-standard HVAC systems, security systems and keypads, audio visual equipment and redundant power within the building.

Additional Property Information

Northrop Grumman Systems Corporation, a leading global security company providing innovative systems, products and solutions to government and commercial customers worldwide as well as manufacturing such air crafts as the T-38 Talon, B-2 Bomber and F/A-18 Hornet, has operated in the Dayton market for over 20 years and has a current employee count in excess of 350. The company consolidated three existing facilities into the property, which will allow it to be both more cost and energy efficient. All four of the company's business sectors (aerospace systems, electric systems, information systems, and technical services) are part of its Dayton operations and all will be handled at the property.

Northrop Grumman Systems Corporation | Build-to-Suit Facility

Beavercreek (Dayton), Ohio

PROPERTY AT A GLANCE

Property Type: Office
Square Footage: 99,246

Lease Expiration: August 31, 2019
Renewal Option(s): Two 5-year Options
Rent Increase(s)*: $0.35 per square foot increases in 2017 and 2018
Tenant: Northrop Grumman Systems Corporation 
Website: www.northropgrumman.com
NYSE**: NOC

Disclosure: *Rent increases approximately 2.25% in each of the 6th and 7th years, thereby equating to an average annual growth rate of 0.66% over the duration of the lease.
**Stock ticker symbol is for Northrop Grumman Corporation. The tenant is the wholly- owned subsidiary of Northrop Grumman Corporation.