Through its Enhanced-Use Leasing (EUL) authority, the Department of Veterans Affairs (VA) has repurposed underutilized federal property to create housing, provide below-market office space, and deliver cost savings and benefits to Veterans. Since 2003, Emax has served as a prime contractor or subcontractor supporting post-transaction oversight and monitoring for the EUL program within the Office of Asset Enterprise Management (OAEM). The multi-billion-dollar portfolio includes more than 80 projects—ranging from transitional and senior housing to hotels, childcare centers, energy facilities, and office buildings. Emax evaluates the financial, operational, and development performance of these projects to ensure long-term program stability and has also provided transaction execution support for lease negotiations and due diligence. 

Challenge 

As the EUL program expanded, VA required a reliable and transparent post-transaction oversight framework that could keep pace with the portfolio’s size, diversity, and complexity. To steward its underutilized assets effectively, the VA needed a system capable of: 

• Ensuring consistent financial and operational performance across a diverse national portfolio 

• Accurately valuing revenues, cost avoidance, and benefits delivered to Veterans 

• Monitoring and enforcing long-term lease obligations and compliance requirements 

• Supporting transparent reporting to OMB, GAO, OIG, and Congress 

• Standardizing tools and processes to streamline portfolio administration 

A scalable, data-driven oversight framework was essential to protect program integrity, support decision-making, and demonstrate measurable outcomes to federal stakeholders. 

Approach 

Since 2003, Emax has provided comprehensive oversight and analytical support to strengthen VA’s management of the EUL portfolio. Emax’s approach encompassed four core components: 

• Portfolio Monitoring and Compliance: Evaluated financial, operational, and development performance across all EUL asset types 

• Transaction Execution and Advisory Support: Supported negotiation, structuring, and due diligence for new and amended EUL agreements 

• Methodology Development: Emax played a central role in designing and refining the valuation methodologies used to quantify revenue streams generated through EUL agreements and cost avoidance achieved by leveraging private development 

• Oversight Tools and Systems: To standardize oversight across the national portfolio, Emax created several key tools, including: Annual Oversight Compliance Certificate (AOCC), Outcome Tracking Sheets (OTS), Monitoring Input Spreadsheets (MIS), and the  Enhanced Use Lease Information System (EULIS) 

Impact 

Emax’s long-term support has strengthened the EUL program’s oversight structure, enhanced transparency, and delivered measurable benefits for Veterans and taxpayers. 

Key outcomes include: 

• More than $900 million in positive budget impact through revenue generation and cost avoidance 

• Increased confidence from OMB, GAO, and OIG through consistent, validated methodologies 

• Transparent annual reporting to Congress as part of VA’s budget submission 

• Improved monitoring and risk mitigation across a complex real estate portfolio 

• Expanded availability of transitional and permanent housing, as well as below-market office space, supporting services for Veterans 

Through its structured oversight framework, Emax has helped VA convert underutilized federal property into long-lasting community assets while ensuring accountability, financial integrity, and program resilience.