Check Out The Massive Firesale Being Held By Bankrupt States

earl warren building

There’s a simple way to balance the budget in California, Greece, and everywhere: outsource, privatize, and sell.

Schwarzenegger is taking the lead with a plan to sell a 20-year lease on 11 office buildings. The state plans to generate around $2 billion for the buildings, which they will continue to occupy.

The dirty secret in Sacramento is that the private sector could solve all their fiscal problems. “In an ideal world, we might well want to outsource a lot more,” said Department of General Services spokesperson Jeffrey Young.

California is putting other buildings up for sale outright, and Connecticut and Arizona may follow suit.

Nevermind that commercial real estate prices are near record lows. The states are desperate.

Check out the state buildings going on sale now >

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[slide
permalink=”california-judge-joseph-rattigan-building-1″
title=”CALIFORNIA: Judge Joseph Rattigan Building”
content=”20-year lease: $14 million

Location: Santa Rosa


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47e847f8b9ab67ac10300″
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[slide
permalink=”california-emergency-management-agency-2″
title=”CALIFORNIA: Emergency Management Agency”
content=”20-year lease: $40 million

Location: Rancho Cordova


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc481457f8b9ab778370100″
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[slide
permalink=”california-department-of-justice-building-3″
title=”CALIFORNIA: Department of Justice Building”
content=”20-year lease: $66 million

Location: Sacramento


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc4805b7f8b9ab6782d0000″
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[slide
permalink=”california-public-utilities-commission-building-4″
title=”CALIFORNIA: Public Utilities Commission Building”
content=”20-year lease: $82 million

Location: San Francisco

Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47daa7f8b9a53759d0100″
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[slide
permalink=”california-junipero-sierra-state-building-5″
title=”CALIFORNIA: Junipero Sierra State Building”
content=”20-year lease: $92 million

Location: Los Angeles


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47edc7f8b9ae674020400″
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[slide
permalink=”california-sacramentos-attorney-general-building-6″
title=”CALIFORNIA: Sacramento’s Attorney General Building”
content=”20-year lease: $132 million

Location: Sacramento


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47f817f8b9a98735b0600″
caption=””
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[slide
permalink=”california-ronald-reagan-state-building-7″
title=”CALIFORNIA: Ronald Reagan State Building”
content=”20-year lease: $164 million

Location: Los Angeles


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47f407f8b9a077b0f0200″
caption=””
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[slide
permalink=”california-elihu-harris-building-8″
title=”CALIFORNIA: Elihu Harris Building”
content=”20-year lease: $170 million

Location: Oakland


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47e2a7f8b9a6d6d5e0d00″
caption=””
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[slide
permalink=”california-civic-center-9″
title=”CALIFORNIA: Civic centre”
content=”20-year lease: $300 million

Location: San Francisco


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc47d037f8b9a217b9a0400″
caption=””
credit=””
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[slide
permalink=”california-franchise-tax-board-complex-10″
title=”CALIFORNIA: Franchise Tax Board Complex”
content=”20-year lease: $460 million

Location: Sacramento


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc480bd7f8b9ab778a40000″
caption=””
credit=””
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[slide
permalink=”california-capitol-area-east-end-complex-11″
title=”CALIFORNIA: Capitol Area East End Complex”
content=”20-year lease: $480 million

Location: Sacramento


Note: California plans to earn $2 billion for the lease of 11 office buildings. We estimate building lease prices based on building NOI as a fraction of total NOI.”
image=”http://static.businessinsider.com/image/4bc480097f8b9ae271bb0700″
caption=””
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[slide
permalink=”california-orange-county-fairground-12″
title=”CALIFORNIA: Orange County Fairground”
content=”SALE: $56.5 million***

Location: Costa Mesa

***This was the winning bid at a March auction. The state refused the bid, however, as it was hoping for something closer to $180 million. Now they are in negotiations to sell the iconic fairgrounds to Costa Mesa.”
image=”http://static.businessinsider.com/image/4bc483027f8b9a9a7a290900″
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[slide
permalink=”connecticut-nathan-hale-hall-building-13″
title=”CONNECTICUT: Nathan Hale Hall Building”
content=”SALE: $300,000***

Location: Windham

It’s not just the Golden State. Connecticut put up dozens of properties up for sale, hoping to raise $60 million through FY2011.

***The state auctioned this former hotel, now vacant, in December and received no acceptable bids. They want around $300k, according to Windham Today.”
image=”http://static.businessinsider.com/image/4bc48ba27f8b9a047d790100″
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[slide
permalink=”connecticut-armory-14″
title=”CONNECTICUT: Armory”
content=”SALE: $306,000

Location: Bristol

A pair of lawyers put down a $306k bid for an unused armory this week. They plan to convert the dilapidated building into a restaurant and in-line skating centre & game room, according to Hartford Courant.
image=”http://static.businessinsider.com/image/4bc48d357f8b9acc7b860900″
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[slide
permalink=”connecticut-seaside-regional-center-15″
title=”CONNECTICUT: Seaside Regional centre”
content=”SALE: $7.1 million***

Location: Waterford

***The state wants more, but they may be bound to the terms of a suspended sale from 2007. Developer Mark Steiner wants to redevelop the historic buildings into condominiums, according to The Day.

Photo: Explorer Productions
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[slide
permalink=”arizona-house-and-senate-buildings-16″
title=”ARIZONA: House & Senate buildings”
content=”20-year lease: $18.2 million apiece***

Location: Phoenix

Arizona generated more than $735 million in January for selling state properties.

***SOLD. Lease estimate from Phoenix New Times.”
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[slide
permalink=”arizona-executive-tower-main-government-offices-17″
title=”ARIZONA: Executive Tower (main government offices)”
content=”20-year lease: $39.5 million***

Location: Phoenix

***SOLD. Lease estimate from Phoenix New Times.”
image=”http://static.businessinsider.com/image/4bc4b92c7f8b9aaa040d0500″
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[slide
permalink=”arizona-arizona-state-hospital-18″
title=”ARIZONA: Arizona State Hospital”
content=”20-year lease: $176.1 million***

Location: Phoenix

Once called the Insane Asylum of Arizona, the building remains active as a mental hospital.

***SOLD. Lease estimate from Phoenix New Times.”
image=”http://static.businessinsider.com/image/4bc4bce67f8b9a4305700500″
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[slide
permalink=”america-15-national-parks-19″
title=”AMERICA: 15 national parks”
content=”Sale: $2.4 billion

Location: Nationwide

Don’t forget Rep. Richard Pombo’s plan to sell 15 national parks to the mining industry. Pombo (R-Calif.) proposed the sale in 2005 as an alternative to drilling in Alaska (presumably, he supported both ideas).

But if the national debt grows unmanageable levels, then why not sell the national parks, historic sites, and monuments. It’s either that or close the parks and cut department budgets to shreds.”
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[slide
permalink=”dont-miss-20″
title=”Don’t miss…”
content=”15 Mayors Who Must Shred The Budget To Save Their Bankrupt Cities
image=”http://static.businessinsider.com/image/4bbde0ad7f8b9ad558060200″
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[/slideshow]