Landmark Advisory Services was founded in 2013 in Montreal, Quebec, Canada. However, Landmark’s heritage of representing commercial tenants goes back more than 30 years. We were rolled out of a property management firm that was representing private and institutional landlords while also representing tenants through an advisory division. As each business grew, they needed to be separated and so we were created in 2013 and subsequently the landlord management firm was sold to Colliers International.
Tag: real estate
Despite children in the background and a lack of preparation, this [work from home] arrangement seems to be working. However, before we become too enamored of this new work paradigm, we should appreciate that its relative success is due only to the strong foundations that were built in the office prior to the pandemic.
Any contemplated change in design or layout by a tenant should account for the fact that, like the Spanish Flu of 1908, COVID-19 won’t be around for long. When it leaves, a company’s office design and configuration needs to make sense and needs to be cost effective. A blind rush to the latest and greatest could be very costly.
The same happens in commercial real estate. When one tenants moves out, another will be moving in. If the current tenant cannot vacate in time, that exposes the successor tenant who won’t be able to move in on time. One holdover begets another holdover. Luckily for the real estate world, these broken chains are usually few and far between and the impact can be mitigated through overtime workers, temporary space or even paying some punitive holdover rent. Now, however, we’re in completely unchartered waters.
In order to compare a deal to the market, one must have access to quality data. Maintaining a database of relevant transaction comps is critical. Comps need to include details on all variables which drive landlord returns; this includes average net rental rates over the term of the lease, as well as landlord concessions such as tenant improvement allowances, free rent, and commissions.