About this file

This is a Justification for Other Than Full and Open Competition document for a succeeding lease procurement by the U.S. General Services Administration (GSA).

The GSA seeks to negotiate a succeeding lease with the incumbent lessor for 137,671 rentable square feet (RSF) of office and related space in Lincoln, Nebraska, without conducting full and open competition. The current lease under number GS-06P30071 expires August 31, 2026, with the new lease term commencing September 1, 2026, for 15 years (10 years firm). The estimated fully serviced levelized rate is being withheld in the document but is projected to remain below the FY2026 Prospectus Threshold of $3,910,000. The justification cites 41 U.S.C. 3304(a)(1) and GSAR 570.402 as the statutory authority, specifically the "No Potential Acceptable Locations" provision, which permits sole-source negotiations when no acceptable alternatives are identified. GSA conducted extensive market research using CoStar, Loopnet, and local real estate firms (NAI FMA Realty and Lee & Associates) on February 4, 2026 and May 13, 2026, and published an advertisement on SAM.gov on May 4, 2026 for 10 days, receiving only the incumbent lessor's response. Market research indicated comparable fully serviced rates in the $20-$29 per RSF range depending on service level and property class. The agency confirmed satisfaction with the current lessor and building management, with no identified issues or concerns, and determined the anticipated cost to be fair and reasonable based on prevailing market conditions.

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Revised MAR 2026

Justification for Other Than Full and Open

Competition, Succeeding Lease

U.S. General Services Administration

PBS, Office of Leasing

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 6NE0072

Agency Name:

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

The General Services Administration currently leases 127,642 ABOA/137,671 rentable square feet (RSF) of office space at under lease number GS-06P- 30071 for the The current lease expires August 31, 2026. Approval is requested to negotiate a succeeding lease with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for pursuing a succeeding lease are detailed in GSAR 570.402: Succeeding Leases.

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

(INCLUDING ESTIMATED VALUE).

submitted a continuing need letter on February 4, 2026 for 137,671 RSF of office and related space. To satisfy the mission requirements, the facility must be within the city limits of Lincoln, NE. The agency is satisfied with their current location and would require no tenant improvements if they remain at their current location.

This requirement is for a 15 year lease term, 10 years firm, to commence September 1, 2026. The estimated fully serviced levelized rate per RSF for this lease is F), for an annual cost of and a total contract value of . The estimated levelized net rate per RSF of this lease is ), for a levelized annual cost of and a total net contract value of . The FY2026 Prospectus Threshold is $3,910,000.00 and therefore this procurement is anticipated to remain below the FY2026 threshold.

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: FAR 6.103-1 (GSA Class Deviation RFO-2025-06) and GSAR 570.402. In accordance with GSAR 570.402-4, use of the sole source authority is appropriate when the Lease Contracting Officer does not identify any potential acceptable locations through advertisement or market research.

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

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

GSAR 570.402-4, “No Potential Acceptable Locations,” allows for negotiations with the incumbent Lessor when no potential acceptable locations are identified through both advertisement and market research. For this requirement, efforts were made to find locations through both advertisement and market research, but neither produced acceptable locations.

GSA placed an advertisement confirming to GSAM 570.402-2, “Publicizing/Advertising,” on the System for Award Management Web site (sam.gov) on May 4, 2026, and received one response from the incumbent Lessor.

In another effort to identify suitable space, market research was conducted on February 4, 2026 and May 13, 2026. No properties in the delineated area were identified which could meet the agency’s square footage requirement.

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 May 4, 2026 for 10 days. In addition, GSA conducted market research using CoStar, Loopnet, and local Lincoln real estate firms (NAI FMA Realty and Lee & Associates). The advertisement and market research identified zero potential acceptable locations which could possibly meet the agency’s square footage requirements.

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

GOVERNMENT WILL BE FAIR AND REASONABLE.

In accordance with FAR 6.303-2(b)(7), “Justifications, Content,” the Lease Contracting Officer determines by certifying this document that the anticipated cost to the Government of , fully serviced, is fair and reasonable.

Please note: rental rates in this section are referred to as rates per RSF, not ABOASF. The private sector lists properties in terms of RSF only, so comparisons must be made on that basis.

Market research produced the following results:

CoStar analytics report indicated a NNN (net of utilities, insurance, maintenance, and taxes) market rent asking rate of $28.61/RSF with a ten-year average rate of $26.83/RSF.

NAI FMA Realty first half and second half market reports for 2025 indicated the lowest vacancy rate for office space in the past 5 years with demand for high-quality, amenity-rich space supporting rent growth. Average full gross asking rates for Class A office space indicated

$20.56/RSF.

Lee & Associates 2025 Q4 market report indicated market rates continued to increase in 2025 to $21.00/RSF NNN (net of utilities, insurance, maintenance, and taxes).

The market rates quoted above reflect a private sector definition of shell which would be for a cold, dark space. It does not reflect the Federal Government’s requirements for a warm, lit shell nor does it reflect the Government’s above standard requirements for fire/life safety or accessibility which also should be taken into consideration. Due to these differences, the Lease Contracting Office anticipates an additional adjustment to the quoted market rates to account for these requirements. Furthermore, two of the resources quoted NNN rates. However, the Government requires a fully serviced lease. The average cost of services for GSA leases in Lincoln, NE is

. After adjustments, the supported market rate range per RSF is fully serviced.

Thus, an anticipated fully-serviced rental rate of is considered fair and reasonable for the Lincoln, NE office market.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

GSAR 570.402-4, “No Potential Acceptable Locations,” allows for negotiations with the incumbent Lessor when no potential acceptable locations are identified through both advertisement and market research. For this requirement, efforts were made to find locations through both advertisement and market research, but neither produced acceptable locations.

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

The agency has expressed satisfaction with the current Lessor and current building management.

The GSA Lease Administration Manager expressed no issues or concerns with the Lessor or property.

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

ACQUISITION.

1.

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 137,671 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.

_ ______________________________________ Date______________________

13. ATTACHMENTS

Market Research

Concurred by:

Date

Division Director, One Level above LCO

Deputy Assistant Commissioner

Reviewed for legal sufficiency by:

Office of the General Counsel, Real Property Law Division

Competition Advocate (if applicable)

Approved by:

Head of Contracting Activity (if applicable)

File details come from the government source that posted it. Updated .