HUD Lists Half-Empty DC Headquarters for Sale as Feds Eye Downsizing

The Department of Housing and Urban Development (HUD) has decided it’s time to downsize, announcing that its Washington, D.C. headquarters is now officially up for sale—well, at least the half that’s actually being used. HUD’s headquarters became the first major federal agency building to join the General Services Administration’s list of “assets identified for accelerated disposition,” a move driven by ongoing Republican efforts to trim the federal real estate portfolio and, possibly, nudge more agencies out of the nation’s capital.

This shakeup comes amid political tug-of-war: while the GOP is eager to shrink the government’s footprint, Democrats are pushing back with new legislation in Congress to slow or stop these sales. Last month, the GSA briefly pulled back a massive list of 440 “non-core” assets—including HUD’s home base—but pivoted and reposted, this time with HUD’s headquarters front and center as the first big-ticket property.

President Donald Trump has made relocating agencies a cornerstone of his campaign to “clean up waste,” cut down on bureaucracy, and, as he likes to put it, “dismantle the deep state.” Earlier this week, he signed an executive order scrapping two longstanding policies from the Carter and Clinton eras that had blocked agencies from moving to cheaper digs. Trump’s latest directive argues that getting agencies closer to the people they serve—not just keeping them stuck in DC—will help them do their jobs better. Sometimes it’s good to get out for some fresh air, right?

HUD Secretary Scott Turner chimed in Thursday, saying, “HUD’s focus is on creating a workplace that reflects the values of efficiency, accountability, and purpose.” He emphasized that the department is “rightsizing” operations and collaborating with the GSA to make sure their facilities are up to the task of serving the public.

While the fate and timeline of HUD’s relocation are still up in the air, the agency did confirm that the Washington, D.C. metro area remains a top contender for their next home base. For now, HUD’s current headquarters sits in the Robert C. Weaver Federal Building in Southwest D.C.—a building with a hefty $500 million price tag in deferred maintenance and modernization needs, and racking up more than $56 million a year in rent and operations for taxpayers. Not exactly a bargain basement deal.

Other agencies are reportedly considering similar moves: the Department of Agriculture, for example, is rumored to be making plans to shift its headquarters out of D.C. too. Looks like the capital might be losing a little of its federal flavor in the coming years.