Who is the first one to know when a business is about to expand? It is probably your friendly real estate advisor! Real Estate Advisors are like a real estate doctor. We are a fiduciary. That means that we place the interests of our clients ahead of our own, and we operate in the strictest confidence.
We are privileged to be privy to the intimate dreams and desires of C Level employees. We are there to help the CEO, COO and CFO to understand ways to actualize those dreams by coming face to face with the realities of long term real estate decisions. We help develop plans to administer strategic growth and to provide real world options where an expansion plan can be implemented. Finally we negotiate a transaction that accomplishes that growth and provides for the future.
Invariably, one of the first questions I will get asked at one of these brainstorming meetings is, “Larry, I hear the real estate market is very soft right now, so is this a good time to grow my business?”
To help my clients to get a grip on this question, I will start off by asking them about their business drivers. Business drivers are the keys to solving any real estate questions, and most other operation questions as well. What are business drivers? Business drivers are the factors that spur growth in the areas most important to an enterprise’s success. Such factors might include economic and market conditions, key players, critical information, assets, and processes. It is important to identify business drivers, and know which ones are within the control of a business and which ones are not. When the analysis points to a clear need to expand the business, it is then, and only then, when the justification and proper reasons for facility growth are now there.
Many of my real estate broker friends will tell a client emphatically, “it is a great time expand an office as there are large holes in the office market today which present some great opportunities”. That may be true, but it is the business drivers that will direct this decision, not the real estate market. Opportunities in the real estate market are simply the icing on the cake.
Why do I stress this 1-2 approach? It is all about that fiduciary relationship. What makes us different is that we are looking at things from the perspective of our tenant/clients and real estate decisions simply should not be made in a vacuum. It is only when there is a clear need to expand that it makes sense to develop real alternatives to make that happen. When the need is genuine is when a Real Estate Advisor can really shine. Now there is a demand to satisfy, and so plans, options, budgets and timetables can be developed. With an approved plan in hand, we can now guide our clients through the entire real estate process, and put together a team of specialists to ensure that all the facets the project with come in on time and on budget, with guidance and follow-through to completion and beyond.
Is it a good time to expand your business? Let’s look at your business drivers. Then you too will discover why, Our Difference Is Your Advantage®.
Categorised in: Negotiations