GSA’s effort toward execution of long-term leases has been a popular topic among investors. Going back to the earliest days of this blog, we observed that the remaining term of GSA leases was dwindling. When GSA…
Author: Kurt Stout
U.S. Office Absorption Turns Negative for the First Time in 10 Years
In the category of not-unexpected-but-still-bad-news, Colliers issued its Q2 2020 Office Market Outlook last week reporting that U.S. office absorption turned negative for the first time in a decade. National office demand was negative 13.6 million…
The Specter of Deflation and What it Means for GSA Lessors
One well-known quirk of GSA leases is that operating cost reimbursements are not based on increases in actual costs. Rather, they are calculated on the increase in the Consumer Price Index for Urban Wage Earners and…
Can We Expect the Government Sector to Outperform? Lessons from the Last Fiscal Crisis
Kevin Warsh, a Federal Reserve governor during the Great Recession, noted in a Wall Street Journal op-ed earlier this year, “If you’ve seen one financial crisis, you’ve seen one financial crisis.” That is to say, all…
The Congressional Budget Office Reports on Federal Investment
With the recent surge in congressional activity towards infrastructure spending it is worth noting a Congressional Budget Office (CBO) report released in June entitled Federal Investment, 1962 to 2018. That report provides a great overview of…
SIOR Conference Presentation
Last week the Society of Industrial and Office Realtors (SIOR) held its Spring World Conference in Washington, DC. I was fortunate to be asked to participate in a panel discussion entitled “Federal Real Estate Opportunities” alongside,…
Long-Term GSA-Leased Properties Are Stabilizing
The predominant federal leasing trend since the Great Recession is that the GSA-leased space inventory is shrinking. Though this overall inventory reduction has been occurring at a relatively moderate pace, the number of long-term leased properties…
Nation’s Capital Bears the Brunt of Most GSA Lease Downsizing
Since the end of 2012, GSA has been actively working to reduce the size of its leased footprint. Progress has been modest but consistent. At its December 2012 zenith, GSA leased 198.6 million square feet of space…
GSA Lease Terms are Poised for Growth
Recently, pre-solicitation notices posted to the Federal Business Opportunities website (FBO) have been indicating GSA’s desire to enter into longer lease contracts. FBO notices advertise GSA’s requirements for upcoming procurements, including the length of lease term…
CRE Insider Podcast
Recently, Ross Litkenhous of Altus Group invited me to participate as a guest on his CRE Insider podcast series. We covered a variety of subjects including the SWAMP Act, downsizing, GSA lease terminations and more. The conversation…