Premises and Lease Advisory Services
The most significant overhead for most retailers is rental and related costs – Cost of Occupation. These costs have been spiralling out of control since the advent of below inflation GDP growth and loadshedding.
As retailers we have negotiated with most of the major property owners in South Africa and know their individual styles. We are familiar with new developments, existing centres, and the various strategies deployed by property owners to fill centres.
Our Premises and Lease Advisory Services are designed to assist in identifying footprint gaps ensuring increased market share. For new premises, we consider your individual circumstances, and the rental concessions required as a result of operating in a low growth environment, burdened by loadshedding.
Our services for existing leases are tailor-made to assist in re-negotiating existing leases or renewals and are based on the South African growth and electricity realities that may have been very different when you initially concluded the lease. We know that a bad lease can break a business.
Specific Premises and Lease Advisory Services we offer:
- Identify Footprint Gaps.
- Identify New Retail Sites based on Footprint Gaps.
- Assistance with Negotiations to secure the most beneficial cost of occupation on new and existing sites.
- Determine Site Specific Breakeven.
- Review Costs of New Store Rollouts using industry comparisons to identify cost saving opportunities.
- Review Existing Leases – performing market comparisons ensuring fair / relevant rental concessions.
- Assistance with Re-negotiation of Leases including the identification of suitable alternatives.
- Benchmarking Your Rental Book to similar premises or centers.