Assignment
Identify 40,000 square feet of Class A office space in the Highway 217 Corridor for Textron Financial that could structure a transaction in such a way that allows 2 businesses to move in at separate times over a period of a year.
Objective
Focus on growth, quality of landlord, surrounding amenities and overall facility efficiency.
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Challenges
The timing of Textron Financial’s requirement was not optimal. 2001 was a time of very low occupancy in SW Portland and a 40,000 square foot Class A option was not immediately available.
Results
While studying the market, we learned that a business in the Kruse Way Corridor occupying 2 floors of the 4949 Building was going out of business. The tenant had only occupied the space for 18 months. After touring the space with local representatives of Textron Financial, it was quickly determined that the space was ideal with minor modifications. Since the negotiations of tenant improvement allowances was challenging at that time, identifying a location that had a build-out that they could take advantage of was a significant benefit to Textron Financial. In addition, the landlord was able to negotiate a favorable buy-out of the existing lease, thus allowing us to structure a lease where Textron Financial went in and leased one floor immediately and postponed rent on the other floor for 9 months. This allowed Textron Financial to avoid double rent payments at another location where a lease would not expire for 9 more months.
We are currently assisting Textron evaluate the renewal or relocation of their business with a lease slated to expire June 2009.
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