In this work, we present the first successful fabrication of an etched grooved GaN-based permeable-base transistor structure. Growth of the device structures was done by Molecular Beam Epitaxy (MBE) on thick HVPE GaN quasi-substrates. The fabrication process took advantage of isolations pads via He implantation and SiN deposition, as well as submicron ICP etching of collector fingers patterned via e-beam lithography. SEM of the finished devices shows smooth etched finger structures and base layer surface with finger sidewall angles of ∼85° for 1:1 and 1:3 finger spacing. Specific contact resistivities of ∼ 3 × 10-6 Ω•cm2 for the ohmic contacts were achieved with Ti/Al/Ni/Au metallization scheme. Preliminary DC testing of the devices show a collector current IC = 140 mA/mm at VCE of 5V and VBE of +0.5V. The maximum transconductance gm is ∼111 mS/mm in the measured collector-emitter bias range. These values are comparable, within the measurement tolerance, to physics-based modeling results.