SEC Redacted Justification.pdf

This is a Justification for Other Than Full and Open Competition document for a lease renewal by the U.S. General Services Administration (GSA) for the U.S. Securities and Exchange Commission. The document seeks approval to negotiate a ten-year firm, superseding lease for 38,951 ANSI/BOMA occupancy square feet at One Penn Center, 1617 John F. Kennedy Boulevard in Philadelphia, Pennsylvania. The current lease will be terminated and replaced, with the total rentable square footage being 44,756 square feet. The proposed rental rate is below the current market range for the submarket and includes a tenant improvement allowance.

The GSA conducted market research on May 23, 2025, identifying eighteen potentially acceptable locations. The Securities and Exchange Commission requires continued space in Philadelphia for housing various departments including a Testimony Suite, Commission Meeting Room, High Density File Room, and other critical functional spaces. The lease is being pursued without full and open competition based on cost-benefit analysis, with relocation costs being a key consideration. The incumbent lessor's performance has consistently met the Government's expectations, and the most recent inspection on March 17, 2025, confirmed satisfactory space maintenance. The lease is planned to commence on September 1, 2025, with a ten-year term.