GSA News:

SILVER CITY — The U.S. General Services Administration (GSA) announced the completion of a $340,000 negotiated sale of the vacant former Phillips Memorial U.S. Army Reserve Center in Silver City, New Mexico. The sale marks a strategic step in ongoing efforts by GSA to rightsize the federal real estate portfolio, cut costs for American taxpayers and optimize the space agencies’ need to achieve their missions.

“The sale of this property is another example of GSA’s commitment to optimizing the federal real estate portfolio by divesting costly, underperforming assets,” GSA Acting Administrator Mike Rigas said. “We are focused on delivering value for the American taxpayer and ensuring efficient use of federal resources.” 

The successful transaction with the Town of Silver City for 5 acres of land and 2 buildings will save American taxpayers thousands in annual maintenance costs. This negotiated sale, executed through collaboration with federal partners and in accordance with all applicable laws, enabled GSA to efficiently and strategically remove this property from the federal inventory. The Town intends to use the property for emergency management response and the development of homeless and low-income housing, directly benefiting the local community. GSA’s strategic approach demonstrates our comprehensive capability in optimizing the federal real estate portfolio. 

“The Town of Silver City extends its appreciation to the General Services Administration for facilitating the disposition of the former Phillips Memorial U.S. Armory Reserve Center,” said the Town of Silver City in a statement. “The property’s strategic location presents a valuable opportunity to advance local initiatives related to housing and emergency response. We appreciate the opportunity to acquire the property from the federal government.”

In addition to the negotiated sale of this building, GSA has separately identified other buildings for potential disposal to ensure taxpayers no longer pay for empty and underutilized federal office space, or significant maintenance costs—potentially saving more than $430 million in total annual operating costs.

GSA remains committed to solving long-term problems that exist in the federal portfolio of assets, reduce waste, and deliver long-term value to the American people.