Excess Property Gets New Life, Creates Jobs
November 01, 2011
10:48 AM EST
Recently, the U.S. General Services Administration joined with New York City officials for the groundbreaking of a project that will transform a former Navy supply warehouse in Brooklyn, built in 1918, into a small business incubator. Once completed, no longer will the nine-story structure represent a vacant excess federal building. It will soon be a hub of activity as approximately 400 construction workers prepare the structure for manufacturing businesses that are anticipated to provide 1,300 permanent jobs in the planned state of the art industrial center.
Last summer, GSA completed the successful sale of this former federal building to the New York City Economic Development Corporation, which had selected a private developer to redevelop the 1.1 million square foot warehouse. The federal government received $10 million through GSA’s negotiated sale to the New York City Economic Development Corporation.
As part of the White House Campaign to Cut Waste, the Obama Administration is moving aggressively on disposal of excess properties such as this one to save taxpayer dollars and make more efficient use of the government’s real estate assets. President Obama has directed federal agencies in a Presidential Memorandum to focus on improving the management of the government’s real estate and getting unneeded properties off our books. Agencies have risen to the challenge and identified opportunities that exceed the President’s goal to realize $3 billion in savings from the government’s properties by September 30, 2012.
With a portfolio including 350 million square feet of public buildings, 200,000 federal vehicles, and a flow of goods and services throughout government totaling $95 billion, GSA is uniquely suited to ensure federal tax dollars are not wasted on properties that are excess to the Federal government’s needs. Since 2002, GSA’s Real Property Utilization and Disposal office, working with all federal landholding agencies, has disposed of over 3,355 unneeded federal properties resulting in over $5.6 billion in proceeds. With our position as the leading federal asset manger, we will continue to work with agencies to aggressively identify and dispose of underutilized buildings to make our government more sustainable and efficient.
The sale of the Brooklyn warehouse to the New York City Economic Development Corporation will deliver jobs to the region while relieving the federal government of a property that has outlived its utility.