Why ICE Is Quietly Buying Up Private Detention Centers

ICE is shifting from leasing detention capacity to buying it outright, purchasing CoreCivic's two largest California facilities — the 1,994-bed Otay Mesa Detention Center in San Diego for $739.2 million and the 2,560-bed California City facility in Kern County for $732.6 million — plus a roughly $734 million deal covering the Prairie Correctional Facility in Minnesota and the Midwest Regional Reception Center in Kansas. Federal ownership shields the sites from state and local inspection: DHS blamed sanctuary policies for making privately owned prisons "financially infeasible," and GEO Group's CEO told investors that federal ownership would bring "stronger protections" under the Supremacy Clause, reducing lawsuits. ICE has about 70,000 detention beds as of mid-2026, according to border czar Tom Homan, against an administration goal of more than 100,000; CoreCivic acknowledged negotiating additional sales, and GEO Group said ICE has inquired about buying some of its 19 detention facilities.