Saturday, December 05, 2020


Early Renewal/Expansion
(Retained Below Market Rate/Concessions)

10,869 Rentable Square Feet




MW Logistics headquarters ($50M+ in annual sales) desired expansion rights plus options for current and future growth. Existing lease economics were 50% below market, and their lease expiration was in 14 months. Needed to leverage market to achieve competitive economic terms and extend below market rental rate beyond their current expiration date.

  • Created financial modeling structure customized for CFO’s needs

  • Compared landlord net analysis scenario’s based upon market terms and owner return parameters

  • Identified competitive properties that met needs of customer and could be used as leverage with current landlord

  • Created tenant attribute chart to ensure all needs would be met in the RFP

  • Secured most aggressive economic terms given by owner to date

  • Initial five years of early renewal lease period, retained rental rates 50% below market

  • Secured fixed expansion options with guaranteed future terms at today’s rates/concessions

  • Negotiated improvement allowance that will provide turnkey build-out, plus $100,000+ to be used at tenant’s discretion for FF&E