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Region 8 Succeeding Lease Saves the Government $63M

The Environmental Protection Agency (EPA) has occupied 1595 Wynkoop Street Denver, CO 80202 since January 1, 2006, when the building was constructed for occupancy as build-to-suit and became the first LEED Gold new construction building in Denver.  

The original lease expired December 31, 2018 and 60 months prior to expiration, the Region 8 Team began to engage EPA on long term requirements for Denver, CO. There was considerable effort and strategy to help EPA reduce their total U/R from 220 RSF per person to 200 RSF per person.  

There were many challenges during the construction phase of this project, including:

  • working in an occupied building and relocating EPA throughout the building during construction
  • the transition from EPA being the sole tenant in the building to a multi-tenant building
  • resolving construction issues and managing requirements throughout the project

Despite these challenges, the Region 8 Team created a respectful team environment with EPA and the Lessor’s team through open communication and collaboration. As a result, these hurdles became lessons learned and project successes.  

The project was recently completed and the final outcomes are: 

  • GSA decreased leased space by 76,000 RSF in a Class A building in the Lower Downtown Historic District of Denver, CO.
  • Through excellent project management principles, GSA negotiating a succeeding lease that saved the taxpayer over $63,000,000.00.
  • GSA executed a phased construction project with the tenant in place allowing for continued operations and occupancy by the tenant agency (EPA).
  • GSA successfully negotiated below approved prospectus rate of 46.00 per RSF in downtown Denver.
  • The building maintained a Level III security designation as well as a LEED Gold certification.