December 2013

Five Things to Remember When Exiting a Site

Published on Monday, 30 December 2013 07:13:24    Written by Marc
Five Things to Remember When Exiting a Site If you have been managing real estate leases for some time, you have probably already experienced this a few times: Your lease is ending in a few weeks (or months) and you slowly prepare to exit the site, either to close down your operations or to relocate them elsewhere. Then, as the exit day gets closer, you start to ramp up your tasks, only to find yourself scrambling one week before exit day to try and complete everything in order to avoid paying extra fees (or an extra month of rent) to your landlord. I often asked myself why this scenario seems to repeat itself. I guess it is human nature to delay things until they become urgent (also makes me remember of some university years where we waited until two days to deadline to start to work on some papers).

Read More

Reviewing Your Opportunities to Generate Savings

Published on Saturday, 28 December 2013 11:35:01    Written by Marc
Reviewing Your Opportunities to Generate Savings If you manage a number of leases for your company, you are probably under the same level of stress for finding savings as any other department or business unit these days. It seems that the more difficult it is for companies to increase revenues, the more pressure they tend to put on some of their departments to find ways to reduce costs. In addition, since cost of real estate is a significant one, it is no wonder companies are taking a hard look at their real estate needs.

Read More

Do You Do Post Mortems

Published on Friday, 20 December 2013 10:21:56    Written by Marc
Do You Do Post Mortems This blog is probably more of an open question than the traditional entry where we try to provide you with experiences that one of us had. We normally try to do our best to share some ideas, tips, and warnings that we either came across one day, or completely fell into the hole on another day. There is nothing like the pain of real live experience to be able to relate to something.

Read More

Beware of the Real Cost of Sub Dividing a Site

Published on Tuesday, 17 December 2013 10:32:26    Written by Marc
Beware of the Real Cost of Sub Dividing a Site Over the years, I was often called to sublease a site that we no longer needed. At times, it was an industrial space; others it was an office floor or section of a floor, other times it was a complete building, which had a mix of office and warehouse. I found that subleasing was often more difficult than it seems. Maybe because I was not often lucky enough to find the perfect subtenant to come and lease up everything at once, most of the time we would find prospects which were interested in leasing portions of the space, but not everything.

Read More

Find the Perfect Office Site, or Convert Your Own

Published on Friday, 13 December 2013 07:03:41    Written by Marc
Find the Perfect Office Site, or Convert Your Own
In a previous article, “10 Things to Remember When Moving an Office Space,” I talked about items to look for before starting to search for a new office site. One of the items was budget, or more precisely, budget available. I mentioned that at times, it could be possible to find a site, convert it, and end up with a great office at a good price. I wanted to provide more information on how companies can convert sites, and with some luck, save money in the process.

Read More

Maintain, Refurbish, or Replace

Published on Tuesday, 10 December 2013 08:40:50    Written by Marc
Maintain, Refurbish, or Replace
In capital expenditure planning, the question about what to do with equipment that is getting older, or more precisely, closer to the end of its life, seems to always come back repeatedly. With just about every piece of equipment, the question will be asked, “Should we continue to maintain it, refurbish it, or simply replace it?”

Read More

How to Plan out Your Real Estate Capital Expenses over the Years – Part II

Published on Friday, 6 December 2013 14:15:28    Written by Marc
How to Plan out Your Real Estate Capital Expenses over the Years – Part II
  1. Know what the amortization periods should be for each capital expense you make and keep in mind your horizon. If you own the building, you normally amortize the capital expense for a defined period or for the normal lifespan of the item. For example, if you own a building you might amortize a roof replacement for the normal life of the roof (say 15 years), but your company might have a policy that says its 10 years for roof. So knowing the periods you will use is important.

    Read More

How to Plan out Your Real Estate Capital Expenses over the Years - Part I

Published on Tuesday, 3 December 2013 09:10:04    Written by Marc
How to Plan out Your Real Estate Capital Expenses over the Years - Part I I have wanted to tackle this question for a while but never had a chance. Please keep in mind that I refer mainly to real estate capital expenditures here, as trying to plan capital expenditures of industrial equipment for operations would be practically impossible, unless one would try and do it for a single company at a time.

Read More