The federal government has a monstrous appetite for real estate in the region, even if it’s recently been on a diet.
The General Services Administration, the government’s civilian real estate landlord, counts 795 leases in D.C., Maryland and Virginia totaling 54.6 million square feet. That brings a bill of $1.967 billion in annual rent despite years of downsizing, according to an inventory of all of GSA’s leases around the country as of June, obtained through a Freedom of Information Act request.
A “lease” refers to an individual procurement, so some buildings host more than one. GSA had a “lowest-priced, technically acceptable” rent cap at around $50 per square foot in 2019 with a 1.95% annual escalation that brings it to $57.24 per square foot in 2026, according to an agency spokeswoman. For that reason its offices often fill “Class B” buildings, which may be older or not located in prime locations. By and large it sticks to its rent cap.
But there are exceptions. About…
Read the full story from the Washington Business Journal.
