
Phone 0418 129 299
pflynn@icpg.com.au
Hidden Leasing Costs - NJuly 2023
It is interesting to note that after salaries, the second highest business cost are the rental costs for leasing a premises. In many cases the total cost of occupancy over the term of a proposed lease, is not fully understood, or calculated.
Various additional costs such as outgoings, parking, fitout costs and make good, together with leasing incentives, are not factored into the decision making and evaluation process. Accurate budgeting will reduce risk, and save time and money.
The most appropriate financial analysis to use when considering leasing a property is to establish and compare 'whole of lease' term costs.
If you are thinking of moving, then now is a great time to plan the move, to ensure the best outcome for your business, money and reducing risk in the process. This will give you peace of mind, and the confidence to make an informed decision.


COMBINED EXPERIENCE
We have the know-how you need.
Results - Recent Assignments
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Investment Property - Market search for an inner-city commercial investment property.
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Industrial Property - Analysis of the availability of large inner-city industrial properties.
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Leasehold Market Search - Retail Company - Lease new showroom premises in the Mount Waverley area.
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Market Search & Purchase - Intercommercial Property retained by a service company, to Purchase an inner-city office property in Collingwood.
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Industrial Property Purchase - Intercommercial Property were retained by Speedy Shower Screens to purchase a $1.75m industrial property in Constance Court, Epping.
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Rental savings of $110,000 over 3 years. Rental savings achieved in city-fringe offices of around $36,700 per annum ($110,100 over 3 years), for the new property, compared to the existing premises.
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Discounted Cashflow (DCF) model to actively compare potential office properties and determine the most appropriate and cost-effective property option available. This analysis was over the life of the proposed lease.
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Investor - Investigate the purchase of a $5.0 million retail property, with Dulux as the key tenant on Doncaster Road, Doncaster. The property sold at auction for $5.30m.
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Owner-Occupier - Intercommercial Property Group were retained by property owner-occupier to undertake a Market Research Report. Primarily, to identify the market rental for a newly refurbished office building in Melbourne's Eastern suburbs.
So call us today to enquire if we can help you with your property requirement.