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GEO Group sells three-stand complex to ICE for $950M
The deal transfers 2,644 beds in Adelanto, and GEO expects to net about $705 million after taxes and fees.
GEO Group has sold a three-property immigration detention complex in Southern California’s Inland Empire for $950 million to the federal government for U.S. Immigration and Customs Enforcement (ICE), according to Commercial Observer.
The transactions include two ICE processing centers in Adelanto, one with 1,280 beds and another with 660 beds, plus the 704-bed Desert View Annex. The Department of Homeland Security acquired 2,644 total beds as part of the purchase.
GEO expects to net roughly $705 million after taxes, transaction fees, and other expenses. The company said it plans to use the proceeds and operating cash flow to reduce debt, repurchase shares, and fund general corporate purposes.
Alongside the sale, GEO’s board increased its share-buyback authorization by $750 million to $1.25 billion through the end of 2029. GEO also said it will continue providing support services at all three facilities under its existing ICE contract.