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GSA Announces New Lease for TSA Headquarters

August 12, 2015

Agreement Saves Over $95 Million Taxpayer Dollars

WASHINGTON -- Today, the U.S. General Services Administration (GSA) announced a new lease agreement for the Transportation Security Administration’s (TSA) national headquarters. The agreement saves taxpayers more than $95 million over the 15-year lease term, while providing TSA with more efficient space for the continued protection of the nation's transportation systems.

From Darren Blue, PBS Commissioner for GSA’s National Capital Region:
“This is yet another great GSA-negotiated deal for government and the American people. The new lease agreement allows TSA to consolidate four locations into one at a rental rate and utilization rate that will ensure the agency is more efficient and effective in executing its mission.”

Under the new lease agreement, TSA will fully occupy 625,000 rentable square feet (RSF) at the Victory Center Building, 5001 Eisenhower Avenue, Alexandria, Va. 22304, by Spring 2018 at a rental rate ($36/RSF) that is more than 25 percent below projected market rents and a utilization rate (153/USF) that is more than 20 percent below the agency's current utilization rate (200/USF). The agreement also provides the government with over $50 million for tenant fit-out costs and other transition-related expenses.

The new lease agreement was awarded to a Prudential-owned company, Eisenhower Real Estate Holdings, LLC, after a full and open competitive procurement process. Eisenhower Real Estate Holdings, LLC met all of the minimum requirements of the July 2014 Request for Lease Proposals (RLP) (No. 2VA0687) and was the lowest-priced technically acceptable offeror providing the best value to taxpayers.

TSA headquarters will remain at its current leased spaces at 601 and 701 S. 12th Street in Arlington, Va. 22202 while Eisenhower Real Estate Holdings, LLC completes construction and tenant build-out of the facility. The new facility will offer more efficient use of space than TSA’s current locations and less energy and water usage than typical office buildings.

For the new lease agreement, Mark Stadsklev was the GSA lease contracting officer and JLL was the broker representing the government.


Last Reviewed: 2017-08-13