LFL60190REDACTEDJOFOC.pdf

Justification for Other Than Full and Open Competition, Lease Renewal

U.S. General Services Administration Jacksonville, Florida

PROJECT NUMBER: 4FL0716

Agency Name:

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

The General Services Administration currently leases 94,574 ABOA/ 109,011 rentable square feet (RSF) of office space and 5 structured parking spots at 1 Independent Drive, Jacksonville, FL under lease number LFL60190 for the The current lease expires November 2, 2025. Approval is requested to negotiate and add a five (5) year unevaluated lease renewal option with the incumbent Lessor, without full and open competition, for continued occupancy at this leased location. The procedures for pursuing a lease renewal are detailed in GSAR 570.401: Renewal Options.

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

(INCLUDING ESTIMATED VALUE).

A lease renewal is required for the lease in order to protect Government occupancy until a long-term competitive replacement action can be developed and executed. This call center appears to be well utilized with over 300 employees reporting to the office daily on average. Significant upgrades have been made to the current space, making replication cost-prohibitive. This proposed added renewal is for a five

(5) year firm term, which if exercised, will protect the government's occupancy and account for schedule delays in the long-term replacement process.

The renewal rate is anticipated to remain at the current rate of $ per RSF fully serviced. The annual estimated cost is $ for a total contract value of $

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. 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. A cost-benefit analysis was completed following the procedures set forth in 41 U.S.C §3304 (a) (1). The cost of relocating using the Bullseye average market rate exceeds the cost of remaining at 1 Independent Drive, Jacksonville, FL. The total savings to the Government is approximately $7,675,935.00

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.

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 August 22, 2025 for 7 days. In addition, the lease contracting officer conducted market research using CoStar.

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

GOVERNMENT WILL BE FAIR AND REASONABLE.

Based on comprehensive market research, which included a thorough evaluation of comparable properties and current market trends, the established market rental range for similar spaces falls between $20.00 and

$25.00 per RSF fully serviced. The proposed renewal rate of $ /RSF fully serviced falls within this range and is still deemed fair and reasonable.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

The Bullseye Market Report Average is $23.07/RSF fully serviced. Market Research from a CoStar report from August 29, 2025 resulted in three (3) possible locations. Two (2) of the properties provided asking rental rates. Fully serviced rental rates range from $20.00 - $25.00 / RSF. It should be noted that market asking rates do not typically reflect the services included in a fully-serviced Government lease, the warm-lit shell conditions required, or monthly parking.

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

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

ACQUISITION. No expressions of interest were received other than the Incumbent.

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. In advance of an existing lease contract’s expiration, considerations will be given to allow for sufficient time to conduct a full and open procurement. The Government will consider the time and cost of moving from the existing location, and the time and cost to build out new space when deciding whether it is economically advantageous to stay at the existing building or to undergo a competitive action.

Additionally, consideration will be given to the customer agency’s mission and security requirements (if applicable) to include limiting any agency space requirements that may be deemed unduly restrictive and thus favor the incumbent. The Government will remain conscious of the effort to continuously encourage competition when practicable.

11. CONTRACTING OFFICER CERTIFICATION:

By signature on this Justification for Other than Full and Open Competition, the GSA Lease Contracting

Officer certifies that the addition and option to exercise a renewal for 109,011 RSF is in the Government’s best interest and that this Justification is and complete to the best of the GSA Lease Contracting Officer’s knowledge and belief.

Certified By:

Rita Bradley Date Lease Contracting Officer

Concurred By:

Raffaela Battiloro Date Lease Acquisition Officer

Jeannette Rios Date Leasing Director

Reviewed by:

Leigh Erin Izzo Date GSA Legal Counsel

Approved by:

Warren F. Hall Date Competition Advocate

Approved by:

Crofton Whitfield Date Assistant Commissioner Office of Leasing