Buildings
Buildings Property Disposal

The General Services Administration through the Public Buildings Service (PBS) is responsible for promoting effective use of federal real property assets, as well as the disposal of real property that is no longer mission-critical to federal agencies. 

With thousands of properties in the federal portfolio, disposing of underused federal property is a considerable task. GSA—while working together with partner federal agencies, state and local governments, non-profit organizations, business groups, and citizens—leaves a lasting positive impact on communities by making valuable government real estate available for numerous public purposes.

Unneeded or underutilized federal property can vary widely in type and value, and may include:

  • Undeveloped land;
  • Office buildings;
  • Warehouses;
  • Commercial and industrial facilities;
  • Military holdings; and
  • Single- and multi-family residences.

These former federal properties can contribute to a community’s vitality by providing benefits such as:

  • Expanded employment opportunities;
  • Housing for the homeless; and
  • Establishment of educational centers, parks, and open spaces.

Property may be located in any of the 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, and the U.S. Pacific Territories.

The Disposal Process

When disposing of federal real estate, the following process is mandated by federal law.  The major steps in this process are illustrated below; however, not every property goes through every step of the process.

Excess Property

When a federal agency no longer needs a property to carry out its program responsibilities, it reports this property as “excess” to its needs.

Federal Transfer

GSA first offers excess property to other federal agencies that may have a program need for it.  If another federal agency identifies a need, the property can be transferred to that agency.

Surplus Property

If there is no further need for the property within the federal government, the property is determined “surplus” and may be made available for other uses through public benefit conveyances (PBC), including homeless use, negotiated sales, or public sales based on GSA's determination of the property’s highest and best use.

Homeless Conveyance

If a property is suitable for homeless use, according to the Department of Housing and Urban Development, we must first consider transferring the property as a homeless conveyance before any other public benefit conveyance can be considered.

Public Benefit Conveyance

As a PBC, the property can be substantially discounted in price (up to 100% reduction in fair market value) if it is used for a specific public use that qualifies for a PBC through a partner federal agency.

Negotiated Sale

GSA can negotiate a sale at appraised fair market value with a state or local government if the property will be used for another public purpose.

Public Sale of Property

If state and local governments or other eligible non-profits do not wish to acquire the property, GSA can dispose of surplus property via a competitive sale to the public, generally through a sealed bid or auction.

Since 1987, GSA has conveyed over $3 billion worth of property across the United States.  Of this, about one third has been conveyed to state or local governments and non-profit organizations at a substantial discount in price. 

Finding Federal Property

How to Find Available Federal Property For Public Use

When surplus property becomes available as a possible PBC or Negotiated Sale, GSA prepares a surplus screening notice for the property.  The notice contains a brief description of the property, a list of the PBC uses and statutes under which the property can be conveyed, and contact information for the Regional office and appropriate sponsoring agencies.  Surplus screening notices are available on line at http://rc.gsa.gov.  Public entities are encouraged to visit this website for valuable information regarding federal properties and GSA regulations.

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Last Modified 8/3/2004