2DE0033_Posting_of_Redacted_Justification_for_Other_Than_Full_and_Open_Competition_on_SAM.gov_Redacted_JOFOC_7_1_2025.pdf

Justification for Other Than Full and Open Competition, Renewal

U.S. General Services Administration

GSA Region 3

Real Estate Acquisition Division

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 2DE0033

Agency Name:

1. NATURE AND/OR DESCRIPTION OF ACTION BEING APPROVED.

The General Services Administration currently leases 26,278 ABOA/28,512 rentable square feet (RSF) of office space and 91 surface parking spaces (of which 9 are surface reserved parking spaces) at 1221 College Park Drive under lease number GS-03P-LDE12146 for the

The current lease expires 9/30/25. Approval is requested to exercise an unevaluated pre-existing 5-year renewal option (soft term) with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for evaluating a renewal are detailed in GSAR 570.401: Renewal.

2. DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS (INCLUDING ESTIMATED VALUE).

submitted a continuing need request via the Client Planning process on 2/8/23 for 28,512 rentable square feet of office and related space and 91 surface parking spaces (9 surface reserved parking spaces). The current rental rate is

The delineated area is as follows:

North: Scarborough Road South: W. Division Street/Route 8 East: Rt. 13/N Dupont Highway West: McKee Road/Rt. 15/S. Salisbury Rd.

The rental rate for the pre-existing 5-year (soft term) lease renewal option is as follows:

Years 1-5

There is no vacant Federal Space available.

3. IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND

OPEN COMPETITION.

41 U.S.C. 3304(a)(1): Only one responsible source and no other supplies or services will satisfy agency requirements. This statutory authority is implemented through GSAR 570.402. In accordance with GSAR 570.402, use of the sole source authority is appropriate where it is determined that award to any other offeror would result in substantial duplication of costs to the Government that are not expected to be recovered through competition.

4. DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR

NATURE OF THE ACQUISITION REQUIRES THE USE OF THE AUTHORITY CITED.

It is in the best interest of the Government to remain at the current location (GSAM 570.402-4). No acceptable alternatives were identified within the delineated area for the agency’s required square footage. For the purposes of evaluating the existing renewal rate, a cost-benefit analysis was completed following the procedures set forth in GSAR 570.402-6 for an alternative property within the delineated area that did not have sufficient square footage. This cost benefit analysis further demonstrated that award to other than the current Lessor would require relocation of the entire requirement and would cause to incur move and replication costs that would not be recovered through competition. Relocation costs are estimated to be Additionally, this allows the Government to make use of existing tenant improvements, avoiding replication costs of . The cost of relocating using the low cost quote exceeds the cost of remaining at 1221 College Park Drive, Dover, DE. The total savings to the Government is

5. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS IS PRACTICABLE.

Per the requirements of GSAR 570.402, the GSA Lease Contracting Officer placed an advertisement on the Contracting Opportunities domain of SAM.gov on 1/24/25 for 14 calendar days. In addition, PBS conducted market research using Co-Star on 1/19/25.

6. DEMONSTRATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO

THE GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market surveys of Co-Star conducted by PBS in Dover, DE, showed the rental rate within the delineated area ranges from $21.39-$31.13 per RSF, based upon Co-Star data and recent historical Government lease award data. This location is neither a REIS nor CBRE market.

Therefore, the proposed rental rates for this renewal of are within the current market range for this submarket and are deemed fair and reasonable by the GSA Lease Contracting Officer.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

GSAR 570.402-5 allows for negotiation with the incumbent Lessor when a cost-benefit analysis shows that the Government cannot expect to recover relocation and duplication costs through competition.

On 1/19/25 PBS conducted market research using Co-Star and did not identify any potentially acceptable locations (other than the incumbent) that might meet the agency’s needs within the delineated area. In addition, PBS posted an advertisement conforming to GSAR 570.402-2 on the Contract Opportunities domain of SAM.gov website on 1/24/25. The existing renewal option in the lease is for a rate of the results of the market research and SAM.gov advertisement, including the incumbent. *Note: alternative locations displayed below are for market research purposes only and are not capable of meeting the agency’s square footage requirement.

Address Source [EOI/CoStar, etc.] Asking Full Service Rental Rate

1221 College Park Drive [incumbent] Existing Renewal option

1201 College Park Drive* Co-Star

800 Silver Lake Road* Co-Star $

Figure 1: Market Research Comparables

8. OTHER FACTS SUPPORTING USE OF OTHER THAN FULL AND OPEN COMPETITION.

The agency is satisfied with their current location and lessor’s performance under their current lease agreement. In accordance with the requirements of GSAM 517.207(b), the lessor’s performance under the lease has met the Government’s expectations for quality performance. The lessor is also completing partial paint and carpet upgrades at no additional cost to the Government. The Government retains full and partial termination rights during this renewal term.

9. LIST OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN THE

ACQUISITION.

No other source has expressed an interest, in writing, to the acquisition.

10. STATEMENT OF ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME

ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.

There are no systemic barriers to competition. If the agency has a continuing need for space upon lease expiration, GSA will follow all authorities, regulations and policies applicable to lease acquisition. Should there be remaining useful life in the Government’s tenant improvements, the Government will consider the cost of moving from the existing location, and the cost to build out new space when deciding whether to undergo a competitive action.

Additionally, objective scrutiny will be given to the customer agency’s mission and security requirements (if applicable) to eliminate unnecessary agency space requirements that may be deemed unduly restrictive.

11. CONTRACTING OFFICER CERTIFICATION.

By signature on this Justification for Other than Full and Open Competition, the GSA Lease Contracting Officer certifies that the award of a succeeding lease of 28,512 RSF is in the Government’s best interest and that this Justification is accurate and complete to the best of the GSA Lease Contracting Officer’s knowledge and belief.

_____________ Date___ _________

12. PREPARER’S TECHNICAL CERTIFICATION.

I certify that the supporting data used to form the basis of this Justification is complete and accurate to the best of my knowledge and belief.

Concurred by: