One of Seattle Commercial Real Estate’s clients had approximately 100 leased retail locations in five states. Back in 2010, wide sweeping regulation and law changes went into effect that really dampened the market in which it operated. Thankfully, the powers that be had the foresight to prepare for such an occasion and had termination clauses written into most of the retail leases that allowed for a lump sum payment with a certain number of days’ notice for termination. Armed with this knowledge and a wonderful relationship with landlords and their property managers, I was able to reach out to them and negotiate a change in terms – a rent reduction. Over the course of several months, I was able to secure rent reductions with 25% of the landlords that in the first year resulted in $500,000 savings in expenses, which translated into over $2,000,000 in savings over five years. This is a win-win situation. The company was able to stay in business, the landlords retained a credit-worthy tenant and eliminated an additional vacancy in their retail location.
Seattle Commercial Real Estate has over 125 years of service and knowledge to assist you with your leasing of property for either tenant or landlord. It is our philosophy that in order to protect your business, it is important to ensure that you have a lease in place that is beneficial to your business, no matter if it is commercial real estate, retail property, office space, industrial property or multi-family. How we represent our clients to address all of these issues in terms of their real estate investments and real estate portfolios is a material consideration.
What’s the best way to ensure that you have a lease that is beneficial? Having a commercial real estate broker on your side who has the market knowledge is a start.