GSA Request for Lease Proposal – GSA Broker Contract

GSA will often make the decision to use a private sector broker, via the GSA Broker Contract, to represent the Government in a building lease procurement.  This type of GSA lease procurement will look and feel very similar to the Traditional Request for Lease Proposal procurement that we discussed, but with the GSA Broker Contract method you will mostly be working directly with a private sector broker operating under the GSA Broker Contract.  That said, all final approvals and decisions will ultimately be made by the Lease Contracting Officer for the project who will be an employee of GSA.

For more on the process of this type of procurement, we suggest reading the service page for the Traditional Request for Lease Proposal.  There, we cover the “what’s” and “how’s” related to this method in great detail.

As a reminder, here are some key things to know about the GSA Request for Lease Proposal process:

  • It is an iterative process that will likely last several months.
  • The Government / broker contractor is NOT responsible for making sure you are getting a good deal or even covering your costs.
  • The GSA lease is NOT a typical market lease.
  • You must understand the major cost drivers embedded in the GSA / Federal Lease Template or else you will likely under-bid.
  • The GSA’s treatment of operating costs is not like the majority of market deals
  • Honestly, this list could go on and on…. and it does.

Though there are many similarities between a procurement under the GSA Broker Contract and the Traditional Request for Lease Proposal method, there are also some key differences that you will need to be aware of.

  • You will be expected to pay a tenant rep fee.
  • The tenant rep fee you will be asked to pay will seem well above the market, but there is more to it than just a fee percentage. See our blog post on GSA Broker Fees for a better understanding of why this is.
  • A portion of this tenant rep fee will go back to GSA in the form of a rent credit. This portion differs by project and is pre-negotiated between GSA and the brokerage firm working the project.
  • The GSA Broker Contractor does NOT have decision-making authority, but they are usually highly skilled and competent in the GSA / Federal Lease Procurement Process.

This is the point where you have a decision to make.

You can clear your schedule for the next several weeks and work only on becoming a GSA / Federal Leasing Expert.


You can reach out to one of the GSA / Federal Leasing Experts working at Arco Real Estate Solutions.

Why Choose Arco?

Our brokerage was built from the ground up with one purpose and that is “easing GSA leasing” for landlords and brokers working on a federal GSA building lease procurement.

Whether you are working with GSA or any other Federal Agency on a Federal Lease Procurement, let our expert brokers guide you through the process.

So what do you get when you work with Arco?  Well, for a start you will receive the following services as part of our full-service GSA or Federal brokerage solution:

  • Analysis of the potential competitive landscape within the delineated area
  • Information related to the market / submarket
  • Full cooperation and guidance in developing an appropriate offer for a GSA lease
  • Preparation and collection of all required offer forms and documents
  • On-going correspondence with GSA and ownership to ensure both parties understand one another
  • Assurance that the offer complies with and takes into account the nuance of each one of GSA’s procurement methods.

With the knowledgeable GSA and Federal Lease Brokers at Arco Real Estate Solutions, there is never a need to go at it alone.  Put our expertise to work for you!