Gladstone Scores Richmond Full-Building Lease Extension

7545 Midlothian Turnpike

Conduent State Healthcare has signed a six-year lease extension at its 42,213-square-foot back-office location in Richmond, Va. The landlord is Gladstone Commercial Corp., a Virginia-based REIT holding an office portfolio focused on suburban markets across the U.S. 

Located at 7545 Midlothian Turnpike, the single-floor suburban property was initially constructed as an industrial facility in 1972 and was converted to office use in 2002. Gladstone acquired the building in 2006 from Palm Beach Capital for roughly $6.3 million, Yardi Matrix data shows.

Conduent, a government healthcare solutions provider, moved into the property in 2014. The new lease extension will maintain the building’s full occupancy through 2026. The building, which offers more than 250 grade-level parking spots, is located on 4.4 acres, adjacent to the Chippenham Square Shopping Center and within walking distance of the Kroger-anchored Stonebridge Shopping Center. Downtown Richmond is roughly 8 miles to the northeast.

At the end of the first quarter, Gladstone owned 122 office and industrial assets totaling 14.6 million square feet across 28 states. According to a recent business update, the occupancy rate across the REIT’s portfolio is holding steady at 97 percent as of mid-July. In mid-May, Gladstone acquired a 504,000-square-foot distribution center in Crandall, Ga., for $30.3 million.