The industrial market has shifted considerably in the past few years – an increase in better quality supply and a tightening in vacancy rates means that a mere six months in advance of your lease expiry is unlikely to help secure you the best deal for your business.
So, how far in advance do you need to start your search?
More time, more options
The benefit of more time is that typically there are more options – and having multiple options can increase your likelihood to securing a better deal.
We meet with businesses who are seeking to move up to three years ahead of time and complete an accommodation brief. We have extensive data on every building in a location, along with new warehouses coming online in that timeframe. This accommodation brief is used by your agent to review each potential accommodation solution. Landlords understand they’re part of a competitive process and your agent can leverage this to help achieve a better outcome for your business.
What’s an accommodation brief?
An accommodation brief is an outline of exactly what you need for your business. We work closely with you to fully understand your business and what you’re seeking to achieve in your warehouse space. The brief will cover things like the size of the building, amount of office versus warehouse, what sort of truck access you need, how many on-grade roller doors, your height requirement, power requirement, recessed docs, natural gas, etc. We can also involve expert consultants from our in-house team, including Supply Chain & Logistics to review your business holistically.
We also delve into your industry and look at the macro environment – for instance, if your business needs to be located on an approved B Double truck route, or within a certain distance to the Port, we encompass this as part of the brief. We can also involve expert consultants from our in-house team, including Supply Chain & Logistics to
It’s a comprehensive document to cover off all your needs and ensure you get the right warehouse for your business.
What happens next?
We take the brief and go out to the market, seeking all the options available in the right timeframe that suits your business. We go to every major developer who has land in the area, any owner with a vacant building, any landlord who has a lease expiry coming up. This typically unveils multiple groups, who then send back a lease proposal. We walk you through those options to work out the best option, and go from there.
The benefit of more time
By starting further out than your typical 6-12 months, we can uncover a much better range of choice, a more modern building or a more competitive process. If it is left too late, it can be very challenging.
Earlier this year, I worked with a business who had a lease expiry coming up, and needed to move. They only left 6 months to find the right property, and this proved to be too short a period. The only option that suited was outside of their preferred area, and they ended up 10km further north than they wanted to be.
That additional time can mean better options and not needing to compromise on key business requirements.
Our experts have a data driven methodology to help unlock opportunities for your business, combined with total market knowledge.
If you have multiple warehouses across locations across Australia, you can benefit from a ‘whole of portfolio’ solution, where we review all your locations and run analysis on the best outcome for your business and your customers. Our Occupier Services team specialises in providing services for industrial occupiers including lease administration, portfolio transaction management and logistics and supply chain consultation. Contact us for further information.