Dept of Veterans Affairs seeks clinical space in Idaho Falls, ID

The Department of Veterans Affairs seeks to lease a Community Based Outpatient Clinic in Idaho Falls, Idaho, with proposals due September 9, 2026. The procurement is full and open competition with no set-aside; the VA determined that a SDVOSB/VOSB Rule-of-Two set-aside does not apply.

Offerors must submit separate price proposals for three firm term alternatives: 10-year, 15-year, or 20-year, with the Government reserving the right to award based on any alternative in its best interest. For all alternatives, the total lease term is 20 years with Government termination rights after the firm period upon 90 days' notice, except under the 20-year alternative where the firm term is coterminous with the lease term and no termination rights apply. Place of performance is Idaho Falls, Idaho. The required space is 14,321 to 17,185 ANSI/BOMA Occupant Area square feet (not to exceed 19,333 rentable square feet) with 100 surface parking spaces (including 8 handicap and 2 ADA van spaces). Tenant improvements must accommodate a 14,321-gross-square-foot ambulatory care clinic with PACT facility design, multiple specialty departments, state-of-the-art A/V systems, comprehensive security systems, and fire protection per NFPA standards. The anticipated tenant improvement cost is $5 million to $10 million with an anticipated lease award of February 28, 2027. The VA provides a $6,850,000 tenant improvement allowance. Monthly rental payments occur in arrears; the VA may make a single lump-sum TI reimbursement upon space acceptance or amortize over the firm term. No progress payments occur during design or build-out phases. The lessor is responsible for all design, construction, permits, inspections, professional services, compliance testing, ongoing maintenance, and facility operations. NAICS code is 531120, Lessors of Nonresidential Buildings.

The facility must comply with Veterans Health Administration standards, International Building Code, NFPA 101 Life Safety Code, Joint Commission accreditation requirements, VA Facility Security Level II standards (including blast-resistant windows, intrusion detection systems, video surveillance, and electronic physical access control), seismic safety certification per RP 8 standards, fire protection with automatic sprinkler systems designed to NFPA 13, and energy efficiency standards including the 2021 International Energy Conservation Code. For new construction, Davis-Bacon prevailing wage rates apply per Bonneville County, Idaho wage determination effective May 18, 2026. Evaluation criteria in descending order of importance are: site characteristics (ingress/egress, parking, amenities, proximity to emergency departments and pharmacies, public transportation); facility design and functionality; offeror qualifications (experience, design team credentials, construction team qualifications, financial resources, outstanding commitments); and past performance on similar projects. Price evaluation uses present value analysis discounting at 5 percent annually with operating expenses escalated at 2.5 percent. Lease acquisition fee to VA's broker (DHC Real Estate Services, LLC) shall not exceed $1,500,000. The lessor is responsible for paying all real estate broker commissions due upon lease consummation. Amendment No. 5 (September 3, 2026) closed the question-and-answer period; no further government responses to questions will be provided. The Lease Contracting Officer is Mati Weiderpass (mati.weiderpass@va.gov, 801-582-1565 x 6680).