The Trump administration is reportedly considering the sale of two significant federal buildings in San Francisco, including the recently renamed Nancy Pelosi Federal Building.
The 18-story tower, which was dedicated to the former House Speaker in December, is located in an area notorious for open-air drug dealing, illegal markets, and crime.
According to Fox News, the administration is also contemplating the sale of the 1930s-era federal building at 50 United Nations Plaza, which currently houses the U.S. General Services Administration (GSA) regional headquarters. Both properties have been earmarked as "non-core" assets in a GSA document, suggesting they could be sold off.
The Nancy Pelosi Federal Building, formerly known as the San Francisco Federal Building, has been a source of concern for years. In 2023, hundreds of federal employees from the U.S. Department of Health and Human Services (HHS) were advised to work remotely due to escalating safety issues. Senator Joni Ernst, R-Iowa, called for the building's closure in response to the rampant drug dealing occurring at its doorstep.
Former Democratic Representative Jackie Speier criticized the potential sale, suggesting it was a form of retribution against Democrats. "It's another example of how he is coming after Democrats. He's coming after California, and it's all about payback," Speier told KGO. She further argued that the lease would continue to increase, leading to higher property taxes for the lessee, a cost not incurred when the property is federally owned.
In a 2020 executive order, President Trump described the 7th Street federal building, an energy-efficient "green" structure that cost $144 million to construct, as "one of the ugliest structures in their city" according to San Franciscans. Andy Ball, a developer involved in the building's construction, echoed this sentiment, calling the project a "waste of taxpayer money from day one."
The potential sales align with the Trump administration's ongoing efforts to reduce federal government bureaucracy through Elon Musks Department of Government Efficiency (DOGE). Despite an active lease for the 800,000-square-foot former Twitter headquarters in San Francisco, Musk relocated his tech company, now known as X Corp., to Texas last year.
The vacancy rate in downtown San Francisco reached 37% last year, with the Mid-Market area experiencing a staggering 55% vacancy rate. The Federal Protective Service has increased security at the 7th Street federal building since its renaming after Pelosi, who has represented San Francisco in Congress for over 37 years. However, residents have expressed concern that the heightened security only benefits federal employees, leaving ordinary citizens unprotected.
The Nancy Pelosi Federal Building, which can accommodate approximately 2,000 workers, currently hosts offices for Pelosi, HHS, the Social Security Administration, the Department of Transportation, the Department of Labor, the Department of Agriculture, and the Department of Housing and Urban Development.
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