Actionable Site Valuations and Opinions of Value

Never again leave money on the table in your lease negotiations.
 
There are three important ways SiteLink can improve your Lease Wins and reduce your occupancy costs using our Actionable Site Valuations:
 
    1.  Benchmarking Site-Specific Values for Lease Renewals and Lease Re-Negotiations,
    2.  Determining which sites warrant immediate re-negotiation, regardless of expiration date, and,
    3.  Benchmarking for new Market Expansion Sites
 
We can reduce your occupancy cost 20% and more.
 
Winning lease negotiations require the support of actionable market research at the suite level.  SiteLink’s depth of resources can provide this information for one, a hundred, or a thousand sites.  Information provided for specific and competing sites nourishes a healthy negotiating environment and confident decision making. 
 
However, tenants often enter Lease Renewal Phase negotiations without adequate site specific market information.  This puts the tenant at a distinct disadvantage.  Without this critical data, the tenants will often acquiesce and accept a new rental rate with no or a low rate increase (0%-3%) to favor expediency.  The tenant is leaving money on the table every time.  Typical brokerage firms acting as outsourced service providers offer up market data which is all too often too generalized and quite often useless to support a strong negotiating position. 

Try us for free with no obligation.
 
SiteLink’s Actionable Site Valuations are designed to help tenants aggressively reduce real estate portfolio occupancy costs.   These Site Valuations enhance the tenant’s negotiating effectiveness and make outsourced brokers, if any, more accountable. 
 
Stop Rent Creep.
 
Not enough attention is paid to the opportunity to reduce rents portfolio-wide during the Lease Renewal Phase of each lease lifecycle; particularly given that economic conditions are ripe to capitalize on vacancies, availability, and staunch positioning.  Without these practices firmly set in place; the company is exposed to the steady, yet unnecessary, rise of real estate portfolio occupancy costs – a condition and phenomena we call Intrinsic Rent Inflation, or more colloquially, “Rent Creep”. 
 
In addition to the insufficiency of quality, useful data; Users are also frequently being subjected to occupancy costs derived from Landlord costs long since recouped or earlier inflated rent numbers stemming from tiered rate structures detached from market forces.  During the User’s initial market expansion, Landlords had certain costs associated with the original lease transaction such as broker fees, legal fees, and construction and tenant finish costs.  These landlord expenses had, at the time, put upward pressure on the original negotiated rent as the Landlords attempted to amortize these costs and recoup them over the life of the lease, or sooner.  Frequently too, the initial rent was programmed to include periodic increases without regard to future market rates.  Without challenge, rent imposed to service these initial sunk costs, or to satisfy the initial rent increase requirements, remain to be included in the subsequent rent basis during the LRP negotiations, even though the costs were fully amortized and recouped by the landlord sometime before and no longer supported by current market forces.  During the Lease Renewal Phase, these sunk (and now recouped) costs should not impact the transaction now being negotiated.  Unchallenged, rent perpetually moves upward.  SiteLink stops this damaging cycle.
 
SiteLink’s Actionable Site Valuations satisfy the United States Postal Service’s Stringent Requirements for Post Office Lease Renewals.
 
All of SiteLink’s services, and particularly the Actionable Site Valuations Reports reverse the upward spiral of intrinsic rent inflation, “rent creep”, and instead, significantly reduce occupancy costs.
 
Typical real estate brokerage firms as outsourced service providers do little to remedy the situation of perpetual rent creep.  The typical brokerage model does not accommodate a cheap and rapid exchange of site-specific market data in any market; and in fact, the typical brokerage model is fashioned to foster expediency, not effectiveness, often to the detriment of the client company.  Brokers’ incentives guide them toward wanting “this renewal off my desk” no matter what it costs the end user.  The typical broker compensation package provides no incentive to reduce costs; but instead, to close the transaction as fast as possible with the least amount of effort.
 
Companies with medium and large real estate portfolios can significantly reduce their occupancy costs with aggressive negotiating strategies implemented during the Lease Renewal Phase (LRP) of the real estate cycle, with the support and foundation of effective, suite-level, market research.
 
SiteLink’s Actionable Site Valuation Reports are moderately priced, scale with quantity, and can be provided at no charge with other SiteLink Services.
 
Try us for free with no obligation; then you decide if we should become a valuable part of your team.

 

 

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