Commercial buildings operate as earning centres for their owners, bringing in rental incomes that cover overheads and allow for profit margins. However, it occasionally happens that this in not the case and a commercial building fails to succeed – with stubborn vacancies and bad vital signs costing the owners.
In response to this, property management specialists Spire Property Management have launched a building rescue service which offers the skills of a highly experienced portfolio management team who bring commercial buildings back to health – and profitability.
Sean Paul, Executive Director of Spire explains that their building turnaround strategists assess why a building is not operating at its optimum levels and why things such as stubborn tenant vacancies exist.
“Our team do an intensive analyses of a building, assessing the tenant mix and reviewing the financial flow to ascertain why it is that a specific building needs an intervention and how to go about turning it around. We also conduct a bench marking exercise to compare the building to others like itself.”
“Based on the outcomes of the analyses we then prepare a comprehensive turnaround strategy for the building. Our team can be as involved in the implementation of the proposed solutions as the client wants them to be – or we can hand over the strategy to the owner for them to implement themselves,” says Paul, who goes on to advise that this service is available to Spire’s existing client base as well as external customers who may want to contract them for this purpose alone.
Gregg Huntingford, CEO of Spire explains that some of the aspects assessed by the Spire team cover poor trading densities, improved optimisation of space, utilisation of dead space – such as roof tops , implementing sustainable/green measures, an improved tenant mix and evaluating the evolution of a building over the years, taking the surrounding community into account as there is a strong link between the success of a building and how it delivers to the needs of its community.
“In current recessionary conditions the last thing a commercial property owner needs is a failing business unit that is costing them money every month, rather than making them a profit. Our new building rescue service is designed to remedy this and reverse any stubborn conditions that may be costing a building owner,” concludes Huntingford.