Students will gain an understanding of what steps to take, what to consider when a commercial lease is coming to an end, and what alternatives may be available if the tenant wishes to end a lease early.
Students will gain an understanding of needs analysis and space planning, and why these elements are so important in the property procurement process.
The Tenant Representative needs to keep up with the intel on what’s available in their market. This allows them to respond promptly and accurately to their clients’ requests to meet access, delivery options, and timeframes in line with their property procurement needs.
Tenant Representatives need to understand the stock available in the market and how other businesses are using this stock, as some buildings may be unsuitable for the type of business they are representing in more ways than one. It could be the wrong location for their customers and staff, or it could have redundant infrastructure that to get up to code would be cost-prohibitive.
The Tenant Representatives also need to be across the stock that’s available in their city and they will often review market analysis and competitor analysis on this stock, so they have perspectives on the marketplace and suitability for any of their clients.
In this course, you will gain an understanding of the importance of keeping up to date with the intel on what’s available in the market, and the things that you may want to introduce as options to your client and also the infrastructure and other risks that you may want your client to be aware of.
Approximately 20 Minutes
A due diligence period is the time afforded a purchaser or lessee to enter and upon the site to study, examine and inspect all aspects of the property. This time is also commonly referred to as the “feasibility period”, “study period” or “investigative period”.
There are several due diligence exercises that may be run over the building deal before the Heads of Agreement (HOA) is signed. These can include financial due diligence, IP due diligence, commercial due diligence, IT due diligence, HR due diligence, regulatory due diligence, and environmental due diligence.
In this course, you will gain an understanding of the different types of due diligence, but essentially focuses on ‘’Internal focused due diligence and building review” which covers most of the due diligence types outlined above, but most importantly, commercial and financial due diligence. The regulatory due diligence will be discussed a little later when complying with the Landlord requirements of fit out and occupation. You will find out more about who’s engaged and involved in due diligence and certification when nearing final negotiations and Heads of Agreement.
Approximately 20 Minutes
Students will gain an understanding of common techniques to achieve reduced floorspace and why a storage strategy is so important in the property procurement process.
Makegood refers to the clause in a lease that sets out how a tenant should leave a property when the lease comes to an end, whether by the expiry of the term or earlier termination. Standard leases contain makegood provisions requiring tenants to put space back to “as was” condition or, frequently, to a full open plan condition even if the fit out was an earlier tenants fit out.
A Tenant Rep may still be working with their client once they have helped them procure their office accommodation, and this may include helping to agree the scope of works with the lessor for a makegood and help source quotes and finalize the appointment of the contractor to do the work on behalf of the client. This could possibly be managed also by the internal Property Manager, but it is also possible that it is preferred that the Tenant Rep look after the exit obligations.
In this course, you will look at what a makegood obligation is, the types of things that the client organization may need help with, and other situations where in the cases, of less defined makegood obligations, the exiting/seller organizations may not need a reinstatement/make good but a disposal strategy to exit their premises.
Approximately 20 Minutes