WASHINGTON — The Department of Homeland Security has purchased three immigrant detention facilities in Adelanto for $950 million, according to the private prison corporation that sold them. The sale by the GEO Group, a Florida-based government contractor, follows an initial $1.5-billion sale over the summer of two other California detention facilities by GEO’s competitor, CoreCivic of Tennessee. The facilities owned by GEO Group include the 1,280-bed Adelanto West ICE Processing Center, the 660-bed Adelanto East ICE Processing Center and 704-bed Desert View Annex.
In total, the federal government has now spent nearly $3.2 billion on detention facility purchases, the majority of them in California. CoreCivic sold off two other facilities, in Minnesota and Kansas, in August. The sales were made possible by an infusion last year of $45 billion for immigration detention from President Trump’s One Big Beautiful Bill Act.
In its announcement, GEO Group sad it will continue managing daily operations at the facilities under the company’s existing contract with U.S. Immigration and Customs Enforcement, which is effective through Dec. 19, 2034. The company said it is engaged in an “active process” with Homeland Security for the potential sale of multiple other facilities.
Those sales hinge on GEO Group’s ability to continue managing those facilities under long-term contracts, the company wrote. Zoley, the company’s CEO, wrote in a news release. During a shareholder call in August, Zoley said ICE was contemplating buying more than 10 facilities, and that number “could continue to grow.” “We believe we have two types of assets: the buildings and the businesses of providing support services,” he said on the call.
We consider ourselves primarily a support services operator, and will place particular importance on our ability to continue our support services at any facility sold to ICE.” GEO Group said it anticipates receiving $705 million in proceeds from the sales, after taxes and transaction fees. The company wrote that net proceeds will reduce the company’s debt and facilitate the repurchase of company shares.
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