Easterly Government Properties, Inc. (NYSE: DEA), a fully integrated real estate investment trust (REIT) focused on the acquisition, development, and management of Class A commercial properties leased to the U.S. Government and its affiliated agencies, has announced the acquisition of a highly secure, 100% leased facility in Ogden, Utah. This 100,000 square-foot property, known as IRS – Ogden, is leased to the General Services Administration (GSA) for the Internal Revenue Service (IRS), which operates mission-critical functions at the site.
Strategic Acquisition to Enhance Shareholder Value
“We are excited to announce this acquisition, which reflects our commitment to executing on our robust pipeline of opportunities and delivering strong shareholder value through strategic, accretive deals,” said Darrell Crate, President and CEO of Easterly Government Properties. “With this acquisition, we continue to focus on supporting high-credit U.S. Government agencies, helping them improve cost efficiencies while securing long-term, stable cash flows.”
A Mission-Critical Facility for the IRS
Located on 13 acres, the IRS – Ogden facility is one of the two primary IRS processing centers in the United States. It plays an essential role in tax submission processing and hosts the IRS Digital Fraud Department. The facility meets Level 4 U.S. Government security requirements, ensuring the protection of its critical functions and sensitive information. This includes 24/7 security system monitoring, bomb detection equipment, chemical sniffing K9s, gated access, and guard stations. The site also houses a receipt control and deposit center, along with specialized equipment used to support the IRS’s core responsibilities, such as administering the Internal Revenue Code and identifying erroneous or fraudulent tax filings.
“The strategic acquisition of IRS – Ogden aligns with our mission to provide mission-critical real estate solutions for U.S. Government agencies,” said Crate. “We are proud to help facilitate the work of the IRS in its crucial role, contributing to greater operational efficiencies and supporting their long-term objectives.”
Lease and Operations Details
IRS – Ogden operates as the IRS’s internal mail processing center, which is essential for handling large volumes of tax documents and related materials. The facility is staffed with up to 850 employees per shift during peak periods, operating across three shifts each day. Additionally, the IRS is in the process of relocating its Imaging Department from Cincinnati to Ogden, along with adding four high-speed scanners to enhance operations.
The property has a lease that runs through January 2029, with two additional five-year renewal options, allowing the lease to extend through January 2039. This long-term lease structure underscores the stability and reliability of the investment, ensuring consistent income streams for Easterly Government Properties.
Growing Easterly’s Portfolio
With this acquisition, Easterly Government Properties now owns or manages 97 properties, totaling 9.5 million square feet of leased space. The company’s portfolio consists predominantly of high-quality, mission-critical properties leased to U.S. Government agencies, which ensures long-term tenant stability and resilience.
About Easterly Government Properties, Inc.
Easterly Government Properties is a Washington, D.C.-based real estate investment trust (REIT) specializing in the acquisition, development, and management of Class A commercial properties leased to U.S. Government agencies. The company’s focus is on properties leased either directly to U.S. Government agencies or through the General Services Administration (GSA). With an experienced management team, Easterly leverages specialized knowledge of government agency needs and mission-critical requirements to provide optimal solutions for tenants while delivering superior long-term returns to shareholders.
