Federal Government Considers Selling Major Office Buildings in St. Louis as Part of National Downsizing Effort
The federal government announced Tuesday that four St. Louis-area federal properties are among more than 440 buildings nationwide that could be closed and sold as part of an effort to reduce the federal real estate footprint.
The Robert A. Young Federal Building, a 20-story, nearly 1 million-square-foot tower in downtown St. Louis, appeared on the “non-core property list” released by the U.S. General Services Administration (GSA), the agency responsible for managing federal real estate assets.
Federal Buildings in St. Louis Targeted for Potential Sale
The Robert A. Young Federal Building, located at 1222 Spruce St., houses multiple government agencies, including:
- United States Citizenship and Immigration Services’ St. Louis field office
- Internal Revenue Service (IRS) Taxpayer Assistance Center
- U.S. Army Corps of Engineers (St. Louis District)
- St. Louis Military Entrance Processing Station
- U.S. Coast Guard’s Upper Mississippi Sector
- Equal Employment Opportunity Commission (EEOC) St. Louis office
The GSA’s website states that the Young building contains more than 25 acres of office space, making it one of the largest federal office properties in the region.
In addition to the Young building, three other St. Louis-area federal properties were included on the non-core list:
- Charles F. Prevedel Federal Building (9700 Page Ave., St. Louis County) – A 380,420-square-foot facility that houses the St. Louis Veterans Affairs Regional Office, National Agricultural Statistics Service, and several other agencies.
- East St. Louis Federal Building (650 Missouri Ave., East St. Louis, IL) – A 31,990-square-foot office facility adjacent to the federal courthouse, home to court-related agencies, Social Security Administration, U.S. Department of Homeland Security, and U.S. Trustees.
- Clyde S. Cahill Memorial Park (Downtown St. Louis) – A federal park near the Thomas F. Eagleton Courthouse, honoring Judge Clyde S. Cahill, the first Black federal judge appointed to serve in the courthouse. The GSA listed the park at “zero” square feet, with no details on how it might be sold.
National Real Estate Downsizing Led by GSA and New Efficiency Initiative
The GSA’s review of these properties is part of a broader federal effort to reduce government-owned office space and cut costs. The initiative was accelerated by President Donald Trump’s administration, which has pledged to shrink federal real estate holdings and budgets.
Trump-appointed officials are working to reduce non-Department of Defense real estate holdings by half, in alignment with the administration’s cost-cutting agenda. The Department of Government Efficiency (DOGE), an unofficial agency led by Elon Musk, has also played a role in identifying underutilized buildings for closure.
Last week, DOGE announced the cancellation of five federal office leases in the St. Louis area, including a U.S. Food and Drug Administration (FDA) facility in the Central West End, which currently operates as a testing site.
Why Are These Buildings Being Sold?
The GSA’s announcement stated that its goal is to dispose of properties that are no longer essential to federal operations. The agency defines “core” federal assets as those that are critical to national defense, law enforcement, or essential government services, such as courthouses and border security facilities.
Non-core properties, the agency said, consist mostly of office space, which has become less relevant due to changing workforce dynamics, funding challenges, and operational shifts.
“We are identifying buildings and facilities that are not core to government operations, or non-core properties for disposal,” the GSA stated. “Selling ensures that taxpayer dollars are no longer spent on vacant or underutilized federal spaces. Disposing of these assets helps eliminate costly maintenance and allows us to reinvest in high-quality work environments that support agency missions.”
Financial and Market Considerations
The federal government currently oversees 363 million square feet of real estate. The properties slated for potential sale amount to more than 80 million rentable square feet, with a total recapitalization need of $8.3 billion, according to GSA estimates.
By selling these properties, the federal government could save $430 million annually in operating costs. The GSA also noted that it is exploring public-private partnerships, sale leasebacks, and ground leases as alternative solutions for underutilized buildings.
The process of selling these properties will be conducted gradually, taking into account current use, occupancy, relocation costs, and local market conditions.
Impact on St. Louis and Potential Redevelopment
While the Robert A. Young Federal Building underwent $70 million in earthquake protection upgrades in 2017, it could now become part of a major redevelopment effort if sold.
If the Young building is vacated, it would mark the third major government-owned property in downtown St. Louis to be closed in the past year, following the State of Missouri’s sale of two downtown office buildings and relocation of employees to suburban offices.
The potential sale of these properties raises questions about how St. Louis will adapt to shifting federal real estate trends and what redevelopment opportunities may arise.
While the GSA has not provided a specific timeline for sales, the agency emphasized that it would proceed methodically and strategically to ensure taxpayers benefit from the transition.
As the federal government looks to reshape its office footprint, downtown St. Louis could see a wave of new development opportunities, provided that investors and local stakeholders can find viable uses for these large-scale properties.
