Trump Administration Orders Termination Of 7,500 Federal Office Leases

In an ongoing effort to allegedly streamline government operations, President Donald Trump’s administration has instructed the General Services Administration (GSA) to reduce office space across the country, according to the AP.

Last week, GSA regional managers were told to begin terminating leases for around 7,500 federal offices nationwide. 

This new direction seems to hinder Trump’s earlier mandate for federal employees to return to in-person work, but it aligns with his goal to cut back on the federal workforce and office space as part of a broader downsizing plan.

The GSA, created by President Harry S. Truman in 1949, manages federal property and office spaces for over 1 million civilian employees. The agency also oversees government purchases and helps preserve historic buildings. As of 2023, the GSA controls more than 363 million square feet in over 8,000 buildings nationwide, including courthouses and data centers.

The Trump Administration’s Office Space Plans

Under Trump’s leadership, the GSA has been tasked with reducing federal office space. A recent internal email revealed the agency aims to terminate up to 300 office leases daily. 

This is part of an effort led by Elon Musk and the Department of Government Efficiency to cut costs and increase operational efficiency. The GSA is working to reorganize office resources and ensure employees have the necessary tools as remote work has become more common.

Advertisements

Who is Leading the GSA’s Changes?

Nicole Hollander, a key figure at the GSA, is spearheading the move to cut leases. Hollander, with a background in real estate, has been involved in implementing this initiative. She is also connected to Musk’s business activities, particularly in real estate and auctions related to his company, X.