A new U.S. Veteran's Administration Medical Clinic for the veterans of Delaware County, Ohio, helped put years of vacancy to an end for the half-empty Glennwood Commons in Delaware.
Retailers, drawn to newer developments, had bypassed Glenwood Commons even as Delaware County was one of the fastest-growing counties in the state. However, the U.S. Veteran's Administration's need for a medical clinic in the county proved a lifeline for Glennwood Commons.
The initial review of the VA's requirements by property owner Gosula Realty was a plunge into a sea of bureaucratic detail — hundreds of pages outlining specifications that went far beyond typical retail leasing.
The VA also demanded a turnkey construction turnover, with Gosula bearing the upfront costs of the detailed plans. This was a significant financial risk, one the owner was hesitant to shoulder without a signed lease.
Financing the construction costs became a tightrope walk that forced Gosula to rely on its current lender for a short-term construction loan, sacrificing the potential for better terms.
However, the location's strategic importance to the VA led them to a rare concession: The plan review would occur after the lease was finalized. This small victory signaled the path to a lease.
After months of negotiations, phone calls and video conferences, a 10,800-square-foot lease was signed in February 2024.
The clinic's anticipated opening in the fall of 2025 has already sparked renewed interest in Glennwood Commons, attracting complementary medical tenants and boosting the property's overall appeal.
The deal earned a 2025 CoStar Impact Award for lease of the year in Columbus, as judged by real estate professionals familiar with the market.
About the project: The U.S. Department of Veterans Affairs' 10,800-square-foot medical clinic is the first in Delaware County, with veterans in the area currently needing to travel to the VA Medical Center near the airport on the eastside of Columbus. The lease is an initial 10-year term with a base rent of $23.50 per square foot, which includes property tax reimbursement. The lease includes five years of renewals that the VA can choose on an annual basis.
What the judges said: "Securing a long-term, large-footprint, federal government tenant for a community retail center really secures the viability of that center. The stability of that center now ripples outward to keep the eastern side of Delaware moving and growing to accommodate the needs of its upward trajectory," David Dean, senior brokerage administrator, Equity.
They made it happen: Matt Cooper, senior vice president, and Jesse Shkolnik, senior advisor, for landlord representative Equity.