Overview

DHS purchased a warehouse in Socorro, Texas for $123 million — a property previously valued at approximately $11 million. This represents the most extreme documented markup in the ICE warehouse acquisition program: approximately 1,000% overpayment.

Financial Details

• Purchase price: $123 million
• Prior valuation: $11 million
• Markup: ~1,000% (per Project Salt Box)
• The $112 million difference between purchase price and prior valuation represents a direct transfer from taxpayer funds to the property’s prior owners/investors

Context

Socorro is in the El Paso metro area, near the El Paso Eastwind Logistics Center mega-center. The extreme overpayment pattern documented by Project Salt Box shows that rushed, defense-channel procurement without normal price competition consistently produces purchases at multiples of market value.

Update (October 2026)

On Aug 11, 2026 Rep. Veronica Escobar announced that DHS “will transfer the warehouses to the U.S. General Services Administration to sell” (Texas Tribune), The Tribune reports DHS bought the three El Paso County warehouses “last year for $123 million” to convert into detention centers “that could hold more than 8,000 immigrants”; Bisnow reports they total 826K SF. Status set to disposed (GSA sale pending).

Sources

• The World’s Biggest Banks May Be Benefiting from the ICE Warehouse Craze — More Perfect Union (April 7, 2026)
• Project Salt Box property records analysis
• Texas Tribune: DHS to sell El Paso-area warehouses (Aug 11, 2026)
• Bisnow: ICE to sell three El Paso warehouses (Aug 13, 2026)