Strategic Portfolio Optimization, Lease Consolidation, and Space Planning, in the District of Columbia (DC)

U.S. Department of Veterans Affairs Central Office (VACO)

Facility Planning, Space and Equipment Planning, Due Diligence and Financial Analysis, Strategic Program Development and Management
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Summary

In 2019, the US Department of Veterans Affairs Central Office (VACO) initiated a process of updating a portfolio study, with the goal of optimizing its Washington, DC real estate portfolio. In response to Executive Guidance through OMB 2015-01 to “Reduce the Footprint” of domestic office and warehouse space, VACO engaged the Craddock Group with specialty subcontractors to assess its space utilization; make recommendations for improved efficiencies; and redesign strategic areas to enhance utilization and quality of space.

The Craddock Team provided VACO strategic planning support to grow in place, reduction of leased space , and create better adjacencies within VA organizations. Team members utilized their experience in portfolio analysis, strategic and capital planning, and space optimization to create a phasing strategy for investing in the improvement of federally owned facilities.

Approach

1. Space Survey

The Team visually surveyed VA’s owned and leased office space; recording occupancy, quality, and general space utilization.

2. Data Analysis

The Team analyzed the occupancy survey data to identify opportunity locations with low utilization where space consolidation could achieve cost savings; and spaces with inefficient layouts and poor light and air penetration.

3. Stakeholder Engagement

Once opportunity locations were identified, The Team met with organizations to understand their unique mission and space requirements.

4. Space Design

The Team utilized stakeholder input to develop test-fit space plans for design-build procurements. The plans maximized the flexibility, quality and efficiency of space for VA teams within the constrained, historic floor plates of the existing federally owned properties.

5. Move Planning

The Team created a phased construction strategy, utilizing swing space and hybrid work arrangements to minimize disruptions to stakeholder group workflows during all phases of the renovation projects.

With the Craddock Team’s support, VA exited two leases, consolidated personnel into VA-owned space, and is proceeding to renovate federal office space to create more flexible, better quality space designed with optimal functionality for the end user.

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Results

Results

With the Craddock Team’s support, VA exited two leases, consolidated personnel into VA-owned space, and is proceeding to renovate federal office space to create more flexible, better quality space designed with optimal functionality for the end user.

Associated Capability

Real Estate Services