With an upcoming lease expiry and demolition works happening close to their existing office, VGI wanted to assess the market alternatives to their existing premises. Being a stand-alone, heritage-listed terrace house, finding similar options in the desired area would be a challenge.
VGI appointed Tenant CS to canvass the commercial market for alternative heritage-listed properties and to benchmark rent levels in case an extension to the existing lease could be negotiated.
Tenant CS undertook the following:
The property search showed that alternatives for heritage buildings were extremely limited. A rental benchmark also revealed that the rent that VGI Partners was paying in their existing premises was fair, and, in some cases, lower than the market average.
An extension to the lease was negotiated against benchmarked and realistic future rents. Particular focus was paid to mitigating the risks surrounding future demolition works and re-negotiating the existing ‘make good’ clause to a bare minimum.
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We acknowledge the Traditional Custodians of the lands on which we work. Our offices are located on the land of the Gadigal peoples of the Eora Nation and the Wurundjeri peoples of the Kulin Nation. We acknowledge their continued connection and contribution to land, water and community, and pay our respects to Elders past and present.
We’re proud to be an inclusive workplace, where diversity in all its forms are valued and every member of our team is encouraged to bring their whole self to work.
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