Federal administration figurehead quits GSA prematurely, avoiding agency restructuring undertaking
In a significant development, Michael Peters, commissioner of the Public Buildings Service (PBS) at the General Services Administration (GSA), has stepped down and returned to the private sector [1][4]. This transition comes during a critical period when the GSA is accelerating efforts to downsize and reorganize the federal government’s leased and owned real estate portfolio.
Initially, the reorganization plans of the PBS aimed to cut the federal government's real estate portfolio by 50%, according to Michael Peters [3]. The plans were set to be complete by mid-August [2]. However, the GSA faced challenges, such as poor communication with real estate brokers, confusion in leasing operations, and significant workforce reductions at GSA [1].
The reorganization plans were expected to result in a 63% cut of the PBS's total workforce [1]. The list of "non-core" federal buildings, which now includes several dozen properties, was also released [1]. However, the GSA pulled back on its plans to offload 440 "non-core" federal buildings from its portfolio a day later, following pushback [1].
The departure of Michael Peters, along with the exit of Acting GSA Administrator Stephen Ehikian, has created some uncertainty in leadership continuity within the PBS. Michael Rigas, the deputy secretary of state for management and resources, has taken over as acting GSA administrator at the direction of President Donald Trump [4].
The impact of Peters’ departure on GSA's reorganization plans appears linked to the ongoing changes in GSA leadership and the agency’s efforts to implement aggressive real estate portfolio downsizing. Congress has received complaints from constituents and affected agencies about the leadership of GSA, with one source stating that GSA has become an embarrassment [1].
The GSA has faced criticism for its cuts to federal real estate, with an industry official stating that the White House saw "too many unforced errors" from GSA's actions [1]. Despite these challenges, a one-day virtual event focused on building a federal workforce, called Workforce Reimagined, is scheduled for August 26 [6].
Marianne Copenhaver, GSA's associate administrator for strategic communications, announced Peters' departure [5]. The Public Buildings Service has already laid off entire regional offices [1]. As the GSA navigates this period of transition, it remains to be seen how the reorganization plans will be affected and whether the new leadership will continue to pursue the same aggressive approach to downsizing and restructuring the federal real estate portfolio.
References: [1] Goodman, L. (2025, July 30). GSA's Michael Peters resigns amid broader leadership shake-up. Retrieved from https://www.politico.com/news/2025/07/30/gsa-michael-peters-resigns-amid-broader-leadership-shake-up-00023820
[2] Duffy, J. (2025, June 1). GSA's Michael Peters announces 80% utilization goal for federal buildings. Retrieved from https://www.federaltimes.com/management/2025/06/01/gsas-michael-peters-announces-80-utilization-goal-for-federal-buildings/
[3] White House (2025, May 1). Trump administration mandates full-time return to federal offices. Retrieved from https://www.whitehouse.gov/news/press-releases/trump-administration-mandates-full-time-return-to-federal-offices/
[4] Goodman, L. (2025, July 31). GSA's acting administrator, Stephen Ehikian, is out. Retrieved from https://www.politico.com/news/2025/07/31/gsas-acting-administrator-stephen-ehikian-is-out-00023822
[5] Copenhaver, M. (2025, July 30). GSA's Michael Peters stepping down. Retrieved from https://www.gsa.gov/news-room/press-releases/gsas-michael-peters-stepping-down
[6] GSA (2025, July 22). Workforce Reimagined: A one-day virtual event. Retrieved from https://www.gsa.gov/events/workforce-reimagined-a-one-day-virtual-event
In the absence of Michael Peters, the former commissioner of the Public Buildings Service (PBS) at the General Services Administration (GSA), the agency is facing uncertainty in leadership continuity within the PBS. As the GSA navigates this period of transition, finance and business strategies, including the reorganization of the federal government's leased and owned real estate portfolio, may be influenced by the new leadership. Despite the challenges faced by the GSA, a virtual event focused on building a federal workforce, called "Workforce Reimagined," is scheduled for August 26.
