Situation Analysis
When DHL Express (USA) notified the owners of One Commerce Green
that they would not be renewing their lease for 116,000 square
feet, there was serious concern. Not only would they be
losing their anchor tenant who represented 30% of the building,
they were doing so in the most difficult of economic times.
First quarter 2009 had already experienced negative absorption
rates and the outlook wasn't showing any signs of improvement.
Owner's Goals
The building owner had two main objectives:
- re-tenant the building as quickly as possible
- ensure that the new tenant was a Class A tenant with a stable
and secure background
Parkway properties chose the operational know how of PRS and
leasing expertise of Mark Preston to prevail in this unique asset
challenge.
Strategies & Solutions
Though PRS Realty was faced with a "mission critical" deadline
and a significant amount of space to lease, they did not
panic. They did what they always do…take a strategic approach
and tap into their very deep and seasoned network - both internally
and externally.
PRS discovered that Southwestern Energy Company needed space
similar to what PRS Realty had available. The only challenge
was Southwestern Energy Company needed occupancy almost
immediately.
The PRS Realty team went to work to make it all happen.
They engaged in parallel negotiations with DHL and Southwestern
Energy Company. Reaching agreement with DHL to vacate a
portion of the space four months ahead of schedule allowed an
immediate move-in for the Southwestern Energy Company team.
Results
Within a 45-day period (from DHL's initial notice to vacate),
PRS Realty was able to give the owners of One Commerce Green
Building exactly what they asked for - a property that was 100%
leased, and a financially sound Class A tenant.
