The Government Property Agency

Assets, construction and facilities for government services in Iceland.

In September of 2021 FSRE came into being as a result of a merger between , Framkvæmdasýsla ríkisins – Government Construction Contracting Agency (FSR) and Ríkiseignir -  The Government Property Agency (RE).

The merger was a result of a joint effort by both institutions.

The idea of a more centralized Real Estate management in the public sector has existed for a long time in Iceland and has emerged regularly. Then in year 2019, the directors of FSR and RE took the initiative for a workshop with the Ministry of Finance and Economic Affairs (FJR). The main outcome from this workshop was;


  1. The administration of public properties and related services were very diverse and managed by several actors.
  2. Opportunities were to be found in a more holistic approach with increased coordination and integration of these subjects.

This led to a structured strategy work for a new Agency. Headed by the Ministry of finance, led by a strategy consultant, representatives from both agencies worked from September 2020 – January 2021 to envision a new agency.


The strategy sessions led to a concrete conclusion. Multiple benefits could be gained with a strong integrated organization and a centralized approach:


  • Increased efficiency in Government operations
  • Added value for Users
  • Financial benefits for the Treasury
  • FSRE to become a leader in the Icelandic Construction industry and an excellent workplace.


Furthermore a 10 year plan has been developed in three phases with key objectives and KPI's to meet following policy goals:


  • Development of facilities that promotes efficiency in public services and increases user satisfaction
  • Reduction in government housing costs and increased income from natural resources
  • Improved quality and condition of premises as well as improved premises utilization with new solutions and management efficiency
  • A desirable workplace with a happy group of employees. Employees with broad and deep knowledge in the forefront of development in our field
  • Environmentally friendly and safe public buildings to society and ensure the sustainable use of our assets


FSRE  has 75 employees which are divided into three operational departments and two functional ones, handling IT and finance and a CEO's office. FSRE is responsible for 380 buildings / 530.000 m2, 301 land areas and farms, terrestrial resources around the country and over 130 projects under development and construction. 

For further information, please contact