General Services Administration IRS Lease Portfolio Consolidation
General Services Administration
Period of Performance
2010 - 2013
- Program of Requirements (POR)
- Lease Administration
- Realty Solutions
- Relocation Management
Faced with high rent costs, inefficient use of space and expiring leases, the Internal Revenue Service (IRS) needed to consolidate its leased real estate inventory in the District of Columbia into two prospectus-level leases. For the consolidation project, the main challenges came from aligning the expiration dates of the various leased locations where the agency was housed, and coordinating the moves of the various tenants to accomplish a progressive occupancy while minimizing the government’s exposure for double rent payments.
Despite the limitations encountered mostly from external factors, such as procurement policy, legislation, and third party permits, Alfonso & Associates’ real estate professionals executed the projects in extremely short timeframes. The team provided substantial savings to the taxpayer as well as high client satisfaction, resulting in several performance awards for our firm.
The IRS migrated from various leased locations into two LEED-certified new facilities. As a result, the agency improved its space utilization ratio and benefited from improved and more efficient layouts. In each new location, the Alfonso team negotiated free rent deals; over 23 months of free rent in one location and over 18 months of free rent in the second location.