Time to Relocate
How to approach finding the perfect premises
Businesses undertaking their own premises search can do so through various internet leasing portals such as True Commercial, Trade Me, or Prime Commercial.
The drawback with this is that the same property is often featured multiple times and some of the listings are out of date or have expired. This can be a frustrating and time-consuming process, particularly for smaller to medium sized businesses which generally don’t have property specialists on staff.
For this reason, many businesses enter into an exclusive brokerage arrangement with an agency which acts as the tenant’s representative, providing total market coverage and cutting down time and potential confusion for tenants seeking space for lease.
Comprehensive vacancy databases maintained by Bayleys ensure all of the suitable vacancies in the market are known to us and are available for consideration by the tenant. Unlike the commercial property sales market, very few properties for lease are marketed by a sole agency. Most are under general or master agency arrangements, with all agencies having access to them.
This means we can systematically cover the market to find the right option for your business. We also leverage our knowledge of the marketplace and strong relationships with landlords and other tenants to present “off-market” opportunities we think might work well for a particular type of business.
Bayleys will run a completely transparent process for the tenant and ensure all potential landlords are delivered the one consistent description and scope of tenant needs and wants.
We can facilitate the provision of costings for design, project management and fit-out services plus relocation, essential components for tenants to consider before committing to new leased premises. We can also facilitate a spatial audit or needs assessment through trusted partners with specialist expertise in translating current and projected business strategies into an accommodation plan.
Sorting out the options
Bayleys will take your brief and provide you with all suitable options.
Typically, we then work collaboratively with tenants to shortlist up to six to eight properties likely to best meet the needs of your business. In some instances this may include your existing premises. We will then gather additional information specific to these properties, including seismic ratings, and arrange for inspections. Looking at a number of properties helps you prioritise what are the most important considerations for you.
In the final step in the process, the brief is re-scoped if required and the top two to three options are generally selected for more comprehensive consideration. More detailed financial analysis, engineering and architectural and interior design advice may be required along with test-fits to determine what will go where.
Don’t necessarily be put off if some of the options don’t “tick all the boxes”. We can work on improving terms offered by a landlord to better suit your needs before you make a final decision. Also don’t overly focus on the rental cost. While more modern buildings may have higher per square metre “face” rentals, they are generally more efficiently designed than older buildings so you may not need as much space as you currently occupy.
If your current lease has a “net” structure you will know that you also pay for operating expenses (Opex), such as the supply of utility services and insurance. Opex will generally be less in better quality, more energy efficient buildings with a high seismic rating. You need to consider the total occupancy cost (rent plus any Opex) when working out accommodation costs. Also don’t undervalue the opportunities that new space may provide to enhance working practices and your corporate culture or profile.