The Department of Homeland Security reportedly is planning to jettison seven warehouses purchased for more than $700 million by either giving them to other federal agencies or selling them outright.
The move marks a significant retreat from a high-profile immigration detention expansion plan launched under former Homeland Security Secretary Kristi Noem, according to multiple reports.
Immigration and Customs Enforcement purchased 11 vacant warehouses over the past year at a cost exceeding $1 billion as part of a broader effort to dramatically expand detention capacity and support President Donald Trump's mass deportation agenda.
The facilities were intended to be converted into large-scale detention centers and processing hubs capable of housing tens of thousands of detainees.
However, documents obtained by The New York Times show ICE now plans to offload seven of the properties, located in Michigan, Georgia, Pennsylvania, Utah, and New Jersey.
The agency is expected to either transfer the sites to other federal agencies or sell them outright.
The Wall Street Journal reported that Homeland Security Secretary Markwayne Mullin, who succeeded Noem earlier this year, paused the warehouse initiative shortly after taking office.
According to the Journal, Mullin has emphasized using existing detention facilities operated by state and local partners rather than undertaking costly warehouse conversions.
"D.H.S. is moving swiftly to utilize EXISTING detention space with our state and county partners," the department said in a statement cited by both reports.
The warehouse plan faced mounting obstacles almost immediately.
Critics argued the properties were poorly suited for detention use because many lacked proper zoning, plumbing, water capacity, and other infrastructure needed to house large populations.
Local communities also pushed back against proposed conversions, while environmental lawsuits and regulatory challenges slowed progress.
The DHS inspector general has launched a probe into the warehouse acquisition program, adding further scrutiny to the project.
Several federal judges have also intervened, including one who blocked work at a warehouse detention site in Maryland.
Four warehouse facilities in Texas, Arizona, and Maryland are still expected to move forward, though their future remains uncertain amid ongoing legal challenges.
ICE is also reportedly exploring the purchase of existing detention centers from private prison operators.
It was previously reported that Mullin had ordered a broad review of spending decisions made under Noem's leadership while seeking to maintain Trump's immigration enforcement priorities.
The secretary has reportedly favored more practical detention alternatives, including shuttered county jails and unused state facilities that can be reopened more quickly and at lower cost than converting warehouses.
The shift raises new questions about how ICE will achieve the detention capacity needed to support large-scale deportation operations while balancing costs, legal challenges, and community opposition.