New Premises
Where to start and what to do can to be a daunting prospect. Breaking down the process into a series of simple and logical steps will help. Goodwin Property Advisory provides experience in devising and implementing accommodation strategies.
Toggle each section for advice on the leasing or purchase of commercial and industrial premises and land.
Lease/purchase advice
We are therefore well qualified to explain the various stages that need to be considered when leasing or purchasing new premises including:
- Review of existing and future needs
- Needs analysis
- Accommodation budget/feasibilities
- Preparation of premises brief
- Search and premises identification
- Inspection of short-listed premises
- Financial modelling/comparison of alternatives
- Advice on commercial terms
- Negotiation of rent and incentives
- Recommendations re stay put or relocate
- Finalising heads of terms
- Co-ordinating other professional services
Timing is a crucial factor. Allow sufficient time to fully evaluate alternative options will ensure a smooth transition and minimise doubling overheads.
Whether leasing, purchasing new premises or renewing existing leases obtaining independent professional advice without conflict can sometimes prove difficult. Trust and transparency are paramount. Ensure whomever assists is properly qualified and experienced in the provision of independent corporate real estate advice and is not remunerated by building owners, fit out contractors or project managers thus avoiding any conflict.
Beware of those who claim to work for free and are as such ultimately remunerated by the building owner/developer where fees are often undisclosed, significant and ultimately deducted from any incentive offered.
Feasibility studies / budgeting
What are the comparative costs of relocating or remaining put?
What will it cost to relocate to new premises and what are the benefits? How will the accommodation costs over the term of any new lease compare with existing costs? These questions are fundamental to any move. It is therefore important to fully analyse the cost benefits to assess whether it best to remain put and renew, or relocate?
Review and assessment of space requirements
With smaller organisation’s it is often reasonably easy to determine the amount of space that will accommodate future requirements. However some floor plate configurations are more efficient than others and therefore obtaining initial design input from an architect or space planner is often advisable.
For larger organisations particularly where rapid growth is envisaged or consolidation of a number of divisions is planned the importance of professional space planning is important. In such instances we recommend employing an architect or qualified interior designer to undertake a needs analysis to determine the size, shape and type of accommodation best suited to accommodating future requirements. Some of the following principal factors that will need to be determined include:
- Amount of floor space
- Spatial configuration
- Open plan/Number of private office
- Floor space ratios per employee
- Workflow relationships
- Requirement for boardrooms, meeting rooms
- Environmental considerations i.e. Green Star/NABERS rated premises
- Staff facilities
- Car parking
- Location
- Standby power/generators
Such pre-planning will ensure substantial savings in the long term and assist in clearly defining the principal criteria for any new premises.
Preparation of premises brief
Having determined the principal criteria for satisfying future needs a property brief can be prepared reflecting key requirements for any new premises. The property brief may then be agreed by the respective stakeholders/ decision makers prior to any active steps being taken to identify suitable premises.
Selection of premises
Once the property brief is agreed this can then be issued to the market, to include commercial agents, building owners, and developers, to request submission of suitable premises. This process saves a considerable amount of time by filtering out unsuitable premises down to a manageable short-list.
Inspections are arranged followed by analysis of the physical and financial attributes of the respective short-listed options that may include stay put option.
Negotiation Process
Having decided upon the preferred premises Goodwin Property Advisory will negotiate preferential rental, incentive and commercial terms to conform to client needs. Assist finalising “Heads of Agreement” for new agreement, instruct lawyers and ensure such terms are properly reflected in any lease or contract. Throughout the process interface between the agents, owners, legal representatives and consultants to ensure the clients interests are correctly interpreted and fully represented
Project co-ordination
What is the most appropriate, timely and cost effective method of undertaking associated works in relation any move or upgrade? Where required we are able to offer independent advice on the appointment of architects, designers, project managers, and building contractors with regard to fit out design, alterations, and new build. Goodwin Property Advisory does not receive any payments or commissions from other consultants/contractors thereby ensuring full transparency and independence of advice.
Premises Review
As business grow so do their needs for premises. Assessing what space a company occupies against the efficient use of such space and future needs can highlight potential savings or costs. Such assessment then has to be put into context with existing lease obligations or ownerships to determine the best strategy to meet future needs. To assist in this process Goodwin Property Advisory offer the following services:
- Review of existing premises and accommodation costs.
- Assessment of future needs
- Formulation of premises strategy
- Development and implementation of premises strategy
- Premises and lease audits
Lease Renewals
With leases expiring what is the best strategy for renewing should this be the favoured option. How best to deal with the building owner and premises costs are protected from large scale increases. If options exist for an additional term is it advisable to exercise such or renegotiate can make a substantial difference. To assist we offer the following:-
- Relocation or renewal assessments
- Lease renewal and rent review negotiation strategy
- Market rent review advice
- Rental advice
- Negotiation timeframe
- Rental determinations
- Short term contracts for acquisition, disposal or tenancy management
Exit/Disposal Strategies
Surplus premises resulting from redundancy, relocation or mergers and acquisitions can pose a large cost to business. The timely and efficient disposal of surplus premises will therefore make a significant contribution to profits. Devising and implementing an effective disposal strategy will not only assist in forward planning but also account for any future expenditure relating to rent, make good, and agency fees. We are fully qualified to offer the following advice:
- Advice on disposal of surplus premises by means of assignment, sub-leasing, surrender or sale
- Lease obligations and liabilities
- Consolidation of leases.
- Co-ordination of disposal process.
- Appointment of agents, and reporting Premises/tenancy management
Market Research
A comprehensive understanding of the dynamics of the commercial and industrial property markets combined with thorough research allows organisations to make carefully planned investments into new markets. To assist in the process we offer:
- Advice and research on national and international markets
- Review of market sectors
- Confidential reviews of premises portfolios
Contracting Services
Where existing internal resources are limited, be it time poor or in possessing the necessary property experience Goodwin Property Advisory are able offer support and assistance with:
- Assisting with acquisition and disposal programs
- Temporary assistance with special projects
