Summary

This is a Justification for Other Than Full and Open Competition for a Succeeding Lease filed by the U.S. General Services Administration (GSA), Region 4. The document seeks approval to negotiate a succeeding lease with the incumbent lessor, USGBF Charlotte, LLC, for 152,911 ABOA/171,460 rentable square feet of office space at 7915 Microsoft Way, Charlotte, North Carolina, under lease number L0G9146. The current lease expires on 06/16/2026, and the new 20-year lease is scheduled to commence on 06/17/2026. The estimated annual cost is approximately $48.00 per rentable square foot with a total contract value redacted in the document. The facility must meet ISC Federal Security Level IV requirements, accommodate 100 setbacks, provide progressive collapse provisions for buildings greater than three stories, SCIF space, and 507 secured parking spaces within a K-rated fenced perimeter with 24/7 security and high-impact vehicle barriers. The site requires two means of vehicular ingress and egress through two main thoroughfares separated by a minimum of 200 feet.

GSA's market research, conducted by broker Savills Inc. using CoStar listings and posted on SAM.gov on 04/30/2024 (closing 05/28/2024), identified only one potentially acceptable alternative location in Charlotte, NC, which would require hardening for progressive collapse and may not satisfy the 100-foot setback requirement. Cost-benefit analysis determined that relocation costs would exceed remaining-in-place costs, supporting the use of 41 U.S.C. 3304(a)(1) authority for sole-source procurement. The Contracting Officer, Michael Monaghan, certified the justification on 10/29/2024, and the Leasing Director approved it on 10/29/2024. Regional Commissioner Jeffrey M. Smith approved the justification on 11/6/2024.