Last week, the U.S. General Services Administration announced that the building was one of eight that would be entering disposition.

“Today’s announcement represents a potential reduction of 1.5 million square feet and more than $475 million in estimated cost avoidance over 10 years,” a press release said. “This is the first step in GSA’s disposal process, under which the properties could be transferred, exchanged, or sold to a federal, state, or local entity or the public after robust input and engagement with stakeholders.”

In addition to the Hansen Federal Building, other buildings announced as going into disposition include:

• Montpelier Federal Building — Montpelier, Vermont.
• Brickell Plaza Building — Miami.
• Charles A. Halleck Federal Building — Lafayette, Indiana.
• Bismarck Federal Building — Bismarck, North Dakota.
• Gus J. Solomon U.S. Courthouse — Portland, Oregon.
• Richard B. Anderson Federal Building — Port Angeles, Washington.
• Federal Office Building, 301 Seventh St. SW — Washington, D.C.

A GSA spokesperson told the Standard-Examiner in an email the building’s disposition comes down to issues with securing funding for building upgrades.

“GSA started evaluating the future of the building in 2022 when it did not receive prospectus-level capital funding from Congress to address major building systems,” they said. “That was the second attempt at requesting capital funding for this building. The disposal decision took into account the building’s deficiencies, the fact that it is in a very high seismic risk zone, and the need for federal space in this market. It would cost $47.6 (million) to address the building’s seismic deficiencies and facade issues. When looking at a 30-year Net Present Value Analysis it is $3.78M cheaper to dispose of the building and move all tenants into leases.”

The 119,000-square-foot facility, which was opened in 1965, contains offices for 10 federal agencies, with the largest being the Social Security Administration, IRS and U.S. Department of Agriculture.

The GSA spokesperson said they are unsure how many jobs are supported by the building, but they are working to determine if employees can be distributed among other locations in the community.

“GSA is working with the tenant agencies to determine their future needs and whether they can consolidate with other occupancies in the market area or whether GSA will need to pursue private leasing solutions for them,” the spokesperson said. “These agencies all plan to stay in the Ogden market.”

Disposition of the Hansen Federal Building is expected to be completed in 2028.