A structured process is critical to getting the best deal on your office lease.
TRS’s proven 6-stage methodology ensures you secure the right premises at the lowest rent and most favourable conditions, with the minimum amount of stress.
Whether you’re renewing a lease or relocating, the process is the same. That’s because getting offers from multiple landlords creates negotiation leverage to help achieve the best deal.
Stage 1. Space analysis & property brief
- Conduct space analysis to clarify your current and future space requirements.
- Compile a space report allocating space and circulation requirements for each staff member and shared facilities.
- Create a detailed property brief outlining your property requirements.
Stage 2. Market search & property nominations
- Distribute your property brief to all relevant commercial landlords, real estate agents and property advisors.
- On receiving property nominations from landlords and agents, collate nominations that meet your specific requirements.
Stage 3. Inspections & shortlist
- Set up and coordinate an inspection tour of suitable properties. Provide suitability and financial advice on each property inspected.
- Following inspections, assist you to select a shortlist of suitable options, and request initial financial proposals.
- To maximise negotiation leverage we usually recommend shortlisting 3 properties – 1 preferred property and 2 comparable properties for leverage.
Stage 4. Financial analysis & reporting
- Evaluate the financial proposals for shortlisted properties for OPEX and CAPEX. Provide easy-to-understand financial reports for presentation to internal stakeholders.
- Reports provide a transparent “apples to apples” comparison covering rent, outgoings, cleaning, car parking, annual rates, incentives, fit-out, make good, one-time estimates (including relocations, consultants, legal costs), and bank guarantees.
Stage 5. Lease negotiations
- Develop a tailored negotiation strategy to maximise leverage and position you for the best outcome.
- Begin negotiating on your 3 shortlisted properties simultaneously to create competitive tension. Prepare counter offers, negotiate commercial terms and provide updates on the negotiation status of each property.
- As negotiations progress, provide updated financial reports to inform your decision-making.
Stage 6. Heads of agreement
- Draft a detailed heads of agreement (HOA) reflecting all negotiated terms and incentives.
- Ensure the HOA is ready for legal review and aligns with your commercial objectives.
- HOA to be executed by your company and the successful lessor.
To find out more about how TRS can help you get the best deal on your lease renewal or office relocation, please contact us