JOFOC Conroe Redacted.pdf
PDF 305 KB Posted
- Attached to
- Conroe CBOC Succeeding Lease
- Solicitation number
- 36C25626R0007
About this file
This is a Justification for Other Than Full and Open Competition document for a succeeding lease submitted by the Department of Veterans Affairs, Veterans Health Administration (VHA).
The VHA seeks to negotiate a succeeding lease for 35,572 assignable square feet (39,221 rentable square feet) of medical space at 690 S. Loop 336 West, Conroe, Texas 77304 under existing lease number VA256-14-L-0052. The current lease expires October 15, 2025, and the VHA requests approval to continue occupancy through a 60-month succeeding lease commencing October 16, 2025, under GSAR 570.402 authority. The estimated annual cost is redacted, with a total estimated contract value also redacted. The facility must remain within defined geographic boundaries (North: FM3083 Rd. W/FM3083 Rd. E; East: FM3083/Beach Airport Rd.; South: Loop 336; West: Hwy 105 to 336). Market research conducted on April 2, 2025, using CoStar identified only one potentially acceptable location meeting agency requirements—the incumbent lessor. Three additional comparable locations were identified but could not satisfy government requirements due to insufficient square footage or unavailable space. The VHA Lease Contracting Officer posted a sources sought advertisement on SAM.gov on March 10, 2025, for five days. The incumbent lessor's expression of interest indicated a rental rate of redacted per RSF fully serviced, deemed fair and reasonable compared to market comparables ranging from redacted to redacted per RSF. Proceeding with the succeeding lease at the current location avoids operational disruption and holdover complications. The justification was approved by multiple levels of authority including the Lease Contracting Officer, Branch Chief, Director of Contracting, and VA HCA for Leasing Review and Approval.
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Text version
2.
Per the requirements of GSAR 570.402, the VHA Lease Contracting Officer placed a sources sought/succeeding lease advertisement on the Contracting Opportunities domain of SAM.gov on March 10, 2025 for 5 days. In addition, market research was conducted using CoStar.
6. DEMONSTRATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO THE
GOVERNMENT WILL BE FAIR AND REASONABLE.
Recent market research conducted by the Lease Contracting Officer in Conroe, TX showed the rental rate within the market area ranges from to per RSF fully serviced.
Therefore, the anticipated rental rate for this succeeding lease of per RSF, is by the VHA Lease Contracting Officer.
7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.
On April 2, 2025, market research was conducted using CoStar and 1 potentially acceptable location w identified, including the incumbent, that can meet the agency’s needs within the delineated area.
Three additional comparable locations were identified, however they could not meet the government s requirements. In addition, the VHA Lease Contracting Officer posted an advertisement conforming to GSAR 570.402-2 on the Contract Opportunities domain of SAM.gov website on March 10, 2025. The incumbent Lessor’s expression of interest indicated that the rate would be RSF fully serviced.
See Figure 1 below for the results of the market research and SAM.gov advertisement, including the incumbent.
Address Source Asking Full Service Rental Rate
Incumbent Incumbent per RSF
525 Woodland Square Blvd
Conroe, TX 77384
CoStar per RSF
(could not meet minimum sf requirement)
1135 Grand Central Blvd-BldgG
Conroe, TX 77304
CoStar per RSF
(could not meet minimum sf requirement)
NEC Hwy 242 & FM1314
Conroe, TX 77302
CoStar per RSF
(space not available for occupancy)
Figure 1: Market Research Comparables
8. OTHER FACTS SUPPORTING USE OF OTHER THAN FULL AND OPEN COMPETITION.
Remaining at the current location under a 60-month succeeding lease avoids a holdover and allows the Government to continue operations without disruption.
9. LIST OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN THE
ACQUISITION.
3.
N/A
10. STATEMENT OF ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME
ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.
There are no systemic barriers to competition. If the agency has a continuing need for space upon lease expiration, VHA will follow all authorities, regulations and policies applicable to lease acquisition. Should there be remaining useful life in the Government’s tenant improvements, the Government will consider the cost of moving from the existing location, and the cost to build out new space when deciding whether to undergo a competitive action.
Additionally, objective scrutiny will be given to the customer agency’s mission and security requirements (if applicable) to eliminate unnecessary agency space requirements that may be deemed unduly restrictive.
11. CONTRACTING OFFICER CERTIFICATION.
By signature on this Justification for Other than Full and Open Competition, the VHA Lease Contracting Officer certifies that the award of a succeeding lease of 39,221 RSF is in the Government’s best interest and that this Justification is accurate and complete to the best of the VHA Lease Contracting Officer’s knowledge and belief.
__________________________________________ Date_____________________ Joycellyn Williams, Lease Contracting Officer
12. PREPARER’S TECHNICAL CERTIFICATION.
I certify that the supporting data used to form the basis of this Justification is complete and accurate to the best of my knowledge and belief.
________________________________________ Date______________________ Christina Richardson, Contract Specialist
13. Approvals in accordance with FAR 6.304.
a. One Level Above the Lease Contracting Officer (required when the anticipated value of the succeeding lease is above SLAT and exceeds $750K total contract value): I certify the justification meets requirements for other than full and open competition.
Tanya Warden Date Branch Chief
b. Director of Contracting Certification (required when the anticipated value of the succeeding lease is above SLAT and exceeds $750K total contract value): I certify the justification meets requirements for other than full and open competition.
CHRISTINA RICHARDSON Digitally signed by CHRISTINA RICHARDSON Date: 2025.05.15 11:46:01 -05'00'
JOYCELLYN WILLIAMS Digitally signed by JOYCELLYN WILLIAMS Date: 2025.05.15 14:12:31 -05'00'
TANYA WARDEN Digitally signed by TANYA WARDEN Date: 2025.05.26 21:50:57 -05'00'
4.
Reuben A. Zepeda Date Director of Contracting Network Contracting Office 16
c. VA HCA for Leasing Review and Approval (required when the anticipated value of the succeeding lease is above the SLAT and exceeds $750K total contract value): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for other than full and open competition.
John D. Thomas Date Associate Executive Director Office of Real Property Office of Construction and Facilities Management
REUBEN ZEPEDA Digitally signed by REUBEN ZEPEDA Date: 2025.06.09 16:04:29 -05'00'
JOHN THOMAS Digitally signed by JOHN THOMAS Date: 2025.07.30 17:42:53 -04'00'
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