CASE STUDY - TENANT REPRESENATION

5601 SKYLAB ROAD

HUNTINGTON BEACH, CA

SUMMARY

Through years of experience working with customers in the Fortune 100 to local entrepreneurs, we not only understand corporate real estate, but have led the market as innovators of forward thinking strategies that not only maximize financial benefit, but create ideal work environments that help its customers maximize employee retention, talent recruitment, and employee productivity.  Redwood West manages portfolios of real estate that span across the entire United States and has a network of local “best in class” real estate providers in each and every market where it does business.

SITUATION

Client had two (2) years remaining on long term build to suit lease for its corporate headquarters, research and development, and manufacturing.  At the time, the in place rents were well above then market conditions for comparable space.  A long term commitment to the facility was favorable if the landlord would recast the lease at then more favorable market conditions.

ACTION

Thru the site selection and due diligence process, the team evaluated several scenarios which included (1) a recasted renewal of the current facility, (2) a bifurcation of production and corporate headquarters, as well as (3) a full relocation of the entire facility.  The team analyzed the each option in detail thru its strong negotiating position.

RESULTS

This nine (9) month evaluation and negotiation process provided complete clarity into all costs and benefits associated with each scenario.  The client ultimately recasted their lease at more favorable economics and obtained flexibility that would allow for adapatation to both market and potential business changes in the future.