Federal agencies are being asked to consider cramming together as the government seeks to cut its real estate footprint.
The General Services Administration this week launched Space Match, a program designed to help federal agencies find office space available outside of their own properties. The federal government’s real estate manager will connect agencies that need space with those that have such space available.
“By leveraging shared office space, we are optimizing real estate usage, reducing overhead costs, and providing employees with more flexible work arrangements,” Public Buildings Service commissioner Michael Peters said in a statement.
Agencies can apply to the program through the GSA website, with the real estate proprietor taking on the task of finding space for the applicant. Details such as how and if an incoming space occupier will contribute to the rent remain unclear.
The stated intent of the program is “fostering collaboration, reducing costs, and supporting increased occupancy rates.” It’s no secret that reducing costs is a big factor in the creation of this program, though.
Elon Musk’s Department of Government Efficiency has been leading a crusade against the federal government’s real estate holdings and workforce. As of Monday, DOGE self-reported the termination of almost 750 leases, totaling close to 9.6 million square feet. Musk claims the cuts have resulted in $660 million in annual rent savings.
As of January, the federal government had more than 174 million square feet under lease, paying nearly $5.8 billion annually on rent for those properties. The GSA has 18.4 million square feet of leases due to expire this year and another 54 million square feet under lease with termination rights.
A 50 percent cut to the GSA budget has been eyed by President Donald Trump’s administration in its early days, as has the thought of selling two-thirds of the government’s office stock to the private sector.
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