Answers to FAQs about assets identified for accelerated disposition

The first list was much longer, why is this list only eight assets?

Due to the overwhelming response that we received after publishing the first list, we are refining our process. In order to achieve our goal, in alignment with the President’s direction, and to drive maximum value for the federal real estate footprint, we decided to use a more incremental approach focusing on a shorter list of assets that have already been evaluated, based on several criteria such as deferred maintenance and operating cost, utilization, and the general availability of replacement space in the local market. The list will continue to be updated as we execute on our strategy to rightsize the federal portfolio.

Does this smaller list represent a shift in GSA’s approach to disposal?

GSA remains committed to solving the long term problems that exist in our federal portfolio of assets. Decades of funding deficiencies have resulted in many of the assets in our portfolio becoming functionally obsolete and unsuitable for use by our federal workforce. GSA will consider assets for divestment from government ownership in an orderly fashion to ensure taxpayers no longer pay for empty and underutilized federal office space, or the significant maintenance costs associated with long-term building ownership — potentially saving more than $430 million in annual operating costs.

How have you handled existing tenants?

GSA works closely with tenants during any disposition in the event a relocation is required. However, a sale does not necessarily mean tenants will need to be relocated. GSA could dispose of an asset, thereby relieving the government of significant liabilities, and lease the space back from the buyer. Refer to GSA accelerates efforts to right size federal real estate for more information.

What are the risks of these assets remaining in the portfolio?

GSA’s Public Buildings Service’s foundational mission is to deliver cost-effective workspace solutions for its federal agency customers. Part of this mission is the disposition of federal facilities and properties when they are no longer needed or prove to be a financial burden to taxpayers. As part of our strategy to optimize the GSA portfolio, PBS will consider current use, occupancy, cost of agency relocation, and local market conditions when assessing these dispositions. Since 2023, GSA has identified more than 30 assets for the disposition process saving millions of taxpayer dollars.

How quickly would these buildings sell?

The timing of removing the buildings from federal ownership is contingent upon several variables, such as if an agency no longer needs a federal property to carry out its mission, it reports the property as excess. First GSA offers the property to other federal agencies that may have a need. If a federal agency identifies a need, the property can be transferred. If there is no need for the property within the federal government, the property is considered surplus and may be available for other uses through public benefit conveyances or PBCs, negotiated sales, or public sales.

GSA is reengineering processes and expects the buildings to remain operational while tenants occupy the space. We are committed to ensuring tenant housing needs continue to be met.

What is the status of the River Road facility?

USDA is moving to a USDA facility under their custody and control.

What is the status of the Social Security Administration New Jersey facility?

Based on our current strategy, SSA will move into a new facility later this year. GSA will share more information once procurement activities are complete.

When will customer agencies be notified?

GSA notified all affected agencies before we published the list. Affected agencies that have questions should contact their PBS point of contact.