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DOGE Terminates More Than 2.3M SF of Office Leases
Elon Musk’s Department of Government Efficiency (DOGE) is terminating millions of square feet of federal leases across the U.S. amid efforts to cut government spending.
The move comes as the administration is also considering selling two-thirds of the federally owned office buildings that are empty or underused, reported the Wall Street Journal. In the last few weeks, DOGE has terminated roughly 2.3 million square feet of federal office leases saying the reductions will save an estimated $55 billion.
Washington, D.C., is the city with the largest amount of leases impacted, with 11 leases totaling 1.4 million square feet to be cut. Some of the federal departments with the biggest reductions include the Department of Labor at 845,389 square feet and the Department of Health and Human Services with nearly 119,812 square feet cut.
Earlier this month, the General Services Administration (GSA), said the department was planning to sell half of the federal property it manages. As of September 2024, the GSA owned and leased more than 363 million square feet of space in 8,397 buildings across the country.
