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Federal Government Identifies 3.5M SF Of Buildings It Wants To Sell

Nearly two dozen buildings totaling 3.5M SF are slated to hit the market in the federal government’s latest move to shed extraneous owned and leased space. 

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The Department of Homeland Security's former Nebraska Avenue headquarters

The General Services Administration announced it has identified 23 properties to dispose of, a process it expects will save more than $1B in costs over 10 years.

The buildings are across 15 states and D.C., and they range from large federal courthouses to a vacant 1800s-era schoolhouse to a motor pool site.

“GSA is committed to right-sizing and optimizing the federal buildings portfolio in ways that benefit local communities and taxpayers,” GSA Administrator Robin Carnahan said in a release. “GSA and our agency partners will continue to assess space needs and accelerate the disposition of federal buildings that are underperforming, underused, or otherwise don’t use taxpayer dollars effectively.”

Two D.C. properties are on the list: the Department of Homeland Security's former headquarters near American University and the Webster School, a 12-room schoolhouse constructed in 1882 that has been vacant since the 1980s.

The sale of DHS’ upper northwest home, spanning 32 buildings, comes as the agency is relocating to a new 4.1M SF development at St. Elizabeths West. The agency had been located at its Nebraska Avenue headquarters since 2005 when it joined the Naval Communications Center at the 38-acre campus. 

Among the other buildings the GSA is preparing to give up are four courthouse buildings in Alabama, Arkansas, Florida and Tennessee and two post offices in Alabama and Texas. It is also planning to rid the federal portfolio of a Coast Guard building in Boston and a motor pool site in Santa Fe, New Mexico.

The GSA said in the release it would coordinate with local communities and officials during the disposition process, keeping them informed and including on opportunities for engagement and “meaningful continued use of the properties.” 

“GSA’s robust process includes ongoing dialogue with local communities and thoughtful planning to help ensure we maximize the benefits of new uses and minimize any potential adverse impacts,” the GSA's new Public Buildings commissioner, Elliot Doomes, said in the release. 

“We look forward to working with our customer agencies and local communities to make the federal buildings portfolio more efficient and effective, while seizing opportunities to advance local development goals,” he added.

The GSA shed five properties during fiscal year 2023 and plans to complete the disposal of six in fiscal year 2024, according to the release.

The federal government has been looking to reduce its office footprint for the past decade, but unused space has come under more scrutiny in recent years, especially as federal employees are still not fully back at the office. 

The Government Accountability Office released a report over the summer that found that a majority of the 24 government-owned agency headquarters it surveyed used 25% or less of their office footprints.