Real Estate

Here's where ICE is spending big on warehouses to turn into detention centers

A warehouse with a private property sign
ICE is on a warehouse buying spree. Andrew Harnik/Getty Images
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Since January, Immigration and Customs Enforcement has spent hundreds of millions of dollars buying at least 11 massive facilities in eight states, public records show.

The acquisitions, which span from New Jersey to Utah, are part of the agency's $38.3 billion plan to overhaul its network of detention centers as it accelerates the Trump administration's mass deportation push.

It has said it plans to convert the vacant industrial warehouses, which were originally built for distribution and logistics, into detention centers capable of holding thousands of people.

Business Insider confirmed the 11 warehouse purchases through local deed searches and public records requests.

An analysis by real estate data company CoStar found that ICE paid premiums of 11% to 13% for the buildings. Sale prices ranged from $35 million for a 261,000-square-foot warehouse in San Antonio to $145 million for an 833,000- square-foot warehouse in Salt Lake City.

ICE paid $129 million to PNK Group USA for a warehouse in Social Circle, Georgia. PNK bought the land in 2024 for $29.4 million, built the warehouse the following year, and sold it to ICE in February.

PNK is owned by Andrey Sharkov, a former Russian national who says he has renounced his citizenship, according to court documents. PNK Group USA started as the US arm of a Russian industrial developer; Sharkov says the US operation severed ties with Russia in 2023.

A congressional group led by Sen. Elizabeth Warren and Rep. Jamie Raskin sent a series of questions to Sharkov this week about the transaction. Their probe is looking into government contractors, real estate firms, and property owners who may have "corruptly profited" from sales to ICE, according to a press release.

Other sellers were primarily large real estate firms, including The Carlyle Group and Dalfen Industrial, which has a partnership with Goldman Sachs.

Nearly every seller purchased the land and built the warehouses within the last five years, with the intention of flipping or leasing them to an e-commerce or logistics company, according to Business Insider's review of public records, news reports, press releases, and commercial real estate listings.

In February, Blue Owl sold a Tremont, Pennsylvania, facility to ICE for $119 million. A private credit firm that has drawn scrutiny for its participation in the AI data center boom, Blue Owl purchased the warehouse, a former Big Lots distribution center, for $129.5 million from the retailer in 2020. It was leasing it back to Big Lots when the company went bankrupt four years later.

The Salt Lake City warehouse, which ICE told city officials could hold up to 10,000 people at a time, is located in a heavily industrialized area near Salt Lake City International Airport and distribution centers for retailers like Amazon and Sephora.

The funds for the acquisitions, which the White House said will support a daily detention capacity of "at least 100,000 aliens," are coming from federal tax dollars allocated in last summer's Big Beautiful Bill Act.

Buying buildings is a new strategy for ICE, which has historically leased its detention facilities from private prison firms. This new approach is meant to rapidly add more beds and streamline the agency's deportation operations, according to an agency document released by New Hampshire Gov. Kelly Ayotte.

ICE warehouse Romulus
Protesters outside a warehouse in suburban Detroit, Michigan.  : Jim West/UCG/Universal Images Group via Getty Images

The document says ICE believes the renovation of "non-traditional" facilities will allow it to quickly build new detention centers that are customized to the agency's needs.

News reports this week suggest that ICE's plans for its detention centers will be paused while new Secretary of Homeland Security Markwayne Mullins reviews former Secretary Kristi Noem's policies after she was removed from her post last month.

ICE previously said it plans to acquire 24 properties — a mix of 16 regional processing centers, meant to house up to 1,500 people for up to a week at a time, and eight "large-scale" detention centers meant to hold 7,000 to 10,000 people for one to two months.

The agency said it aimed to have the facilities operational by the end of the year.

ICE's warehouse plans have faced public pushback in some communities, leading some warehouse owners in other locations to cancel previously planned sales to the agency.

In Merrillville, Indiana, the owner of a warehouse thought to be under consideration for sale to ICE issued a public letter stating that it was not in talks with the government.

At a recent protest outside a warehouse in Salt Lake City, a man was arrested on a charge of property damage after police found him inside the building, throwing rocks at windows.

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Ellen Thomas Business Insider
Ellen Thomas
Ellen Thomas was an investigative reporter on Business Insider's technology desk. Her recent work focused on the data center construction boom, energy, and the economy."The True Cost of Data Centers" series won the 2025 George Polk Award for Environmental Reporting and a Best in Business honorable mention from the Society for Advancing Business Editing and Writing (SABEW). Her investigation on Amazon data centers in Virginia was honored in 2024 by the National Association of Real Estate Editors. Occasionally, public records searches lead her to work off-beat. Recent coverage includes Floyd Mayweather's financial troubles and ICE's $1 billion in warehouse purchases under former DHS Secretary Kristi Noem. Before joining Business Insider, Ellen spent five years covering retail and the beauty industry for WWD. Selected stories:Data centersAmazon built a data center empire in Northern Virginia. It's using as much energy as a major city.Data centers have become an economic powerhouse. Now they're throwing their weight around in Virginia politics. SCOOP: An on-site natural gas plant will power Stargate's first data center in TexasIn the biggest market for data centers, Big Tech flashes cash and influenceOracle got big tax breaks in Texas. Now its going back for more.ICEHere's where ICE is spending big to turn warehouses into detention centersFloyd MayweatherIRS seeks $7.3 million from Floyd MayweatherFloyd Mayweather accused in lawsuits of owing millions for luxury watches, gold, and rent on palatial apartmentMoney to blow: Inside Floyd Mayweather's lavish, debt-filled post-boxing lifeFloyd Mayweather's fitness business is on the ropes. Gym owners are punching back.Floyd Mayweather Jr. bragged about a $400 million property deal. There's just one problem. SalesforceSCOOP: Slack CEO Stewart Butterfield to exit in JanuaryLeaked document lays out Salesforce plan to hit 30% marginsBenioff v. Benioff: Inside 18 Difficult Months at SalesforceRetailUnilever bought Dollar Shave Club for $1 billion. Now, insiders — and even its own CEO — are calling the acquisition a failure. Lady Gaga's Haus Beauty launch on Amazon bombed and triggered a 'mass exodus' of talent. Now its pinning its hopes on a rebrand and Sephora debut. How a German princess and political journalist and with a powerful royal social network became the CEO of the Kardashian beauty brands