A company looking to relocate and lease space in today's tight industrial market that can create a domino effect in both directions. How can a real-life true story of another company's experience help you in making your next real estate decision?
We recently represented a company looking to expand their warehouse operations from Buena Park, CA to Cerritos CA, adding approximately 40% to their existing operational floor space.
Due to today's current market conditions, that exercise proved to be a lesson in coordination, flexibility, creativity and timing. Our client's Buena Park lease was coming due at their existing location while the space we identified as the best available alternative to relocate in Cerritos was not going to be deliverable for 60 days after their current lease expired. In addition, the tenant who was moving out of the Cerritos location to a property in Norwalk was getting delays from the city of Norwalk due to the tenant improvement approval process. You can see the dominoes starting to stack up...
This is where having the right real estate professional on your side is extremely helpful. If you are not working with the right agent they will leave you once the deal is signed and let you figure out all of this logistical coordination by yourself. If you are working with a true professional they will help you get the dominoes situated so that they fall together at just the right time.
We had to coordinate with the Buena Park landlord to buy more time for my client to occupy that space, while at the same time putting more pressure on the Cerritos landlord to get that space available. The strategy worked! We bought more time at the current location and had the Cerritos landlord make arrangements with their tenant to consolidate into another unit so our client could move in early. The Dominoes are beginning to fall...
One company moves to Norwalk and then another company immediately moves into that space, and another company immediately moves into the next space that was just vacated. Domino! That is why it is important for anyone looking to relocate in today's market to be flexible with their timing and willing to be diligent to set up the domino pieces in the right place. We can help you do that!
Christopher J. Destino, SIOR, a Principal at Lee & Associates, is an engaging, responsive professional who enjoys working closely with his clients and helping them succeed.