Making big savings for tenant as rents rise around it

March 14, 2022

The brief

For some time, an Auckland security firm suspected it could find a better deal on its warehousing and office space. With its long-term lease set to expire, we were brought in to carry out an independent rent review that could be used in negotiations. The hope was to not only reduce overheads but also resolve a number of issues related to air conditioning and leaks.

 

The solution

At the time, the commercial rental market was moving rapidly so sourcing real-time market data was challenging. What’s more there weren’t many properties of a similar nature and scale to make a fair comparison.

There was a disparity between the landlord’s valuation of the property and our own. So, we needed compelling evidence based on data provided from real estate agents, contacts, and other valuers, as well as our own extensive database which numbers into the hundreds of thousands of records.

Following a lengthy series of negotiations with the landlord’s valuer, we achieved a resolution on the rent that was favourable to our client.

 

The outcome

Our assessment of the rental market drove an annual five-figure saving for the security firm as it signed a new lease agreement – one which included a dedicated maintenance plan to resolve ongoing building issues.

 

Location: Auckland
Sector: Security
Services: Property valuation – rent review
Prendos contact: Gordon Edginton – Director | gordon@prendos.co.nz