Feb 5, 2025
Services: Facility Condition Assessment & Report
Dept: Construction Solutions
Market: Warehouse/Industrial
GOALS
With five days to make a lease/purchase decision on a potential new space, our client, a major player in distribution, needed to understand the condition of the facility and any operational issues that could materially affect their ability to do business in the building. This rapid assessment was crucial for making an informed decision that aligned with their strategic objectives.
SERVICES/SCOPE
STRUCTR thoroughly reviewed the condition of a 950,000-GSF active clothing distribution warehouse and provided a full written assessment. The assessment covered various critical aspects of the facility, including:
Due to the tight timeline, STRUCTR personnel conducted an exhaustive site review over two 12-hour days. This included photographing and documenting all areas of concern. Following the site review, the team defined and priced suggested repairs, generating a written report in two additional days.
APPROACH AND CHALLENGES
Given the urgency of the situation, STRUCTR’s team employed a highly efficient and systematic approach. Leveraging advanced tools and methodologies, such as digital documentation and real-time data analysis, the team ensured that no detail was overlooked. The primary challenge was to deliver a thorough and accurate assessment within an exceptionally short timeframe, which STRUCTR successfully managed through meticulous planning and execution.
IMPACT
The facility assessment, produced by STRUCTR, was instrumental in the client’s negotiations with the seller. The documented issues, along with the estimated $1 million in repair costs, enabled the buyer to request a $950,000 reduction in the facility’s sale price. This significant cost adjustment made the transaction more favorable and ensured that the client could allocate necessary funds for immediate repairs and updates.
As a result of STRUCTR’s detailed assessment and strategic advice, the client confidently entered a lease/purchase agreement with the seller, knowing they had a clear understanding of the facility’s condition and the financial implications of the required improvements. This decision was pivotal in aligning the client’s real estate acquisition with their broader business goals, ensuring operational readiness and financial prudence.