- Lease Renewal - Roselle, IL | 360,709 Square Feet
- Lease Renewal -Bensenville, IL | 260,338 Square Feet
Expeditors International, a global logistics company was seeking to reduce their occupancy costs at two of their facilities in the Chicago area. Through a referral from a long-time SIOR relationship, Lynn and Stuart were given the task of handling the two renewals simultaneously. Expeditors’ corporate structure prevented them from committing to a long-term obligation, but given the market dynamic of increased vacancy and decreased absorption, the timing was in their favor to drive down the real estate costs. Operating under these parameters, Lynn and Stuart identified opportunities that would allow Expeditors to significantly reduce their lease cost and maintain their current work force.
Several competitive buildings allowed Expeditors to (1) reduce their lease rates, and (2) provide immediate access to buildings that aligned well with their corporate structure. The resulting lease proposals represented more than a 40% reduction compared to the two buildings currently occupied. Utilizing these two options as leverage, Lynn and Stuart were able to use the probable threat of Expeditors vacating to reduce the lease rates at their current buildings.
The Colliers market analysis created two opportunities where Expeditors had viable options. The renegotiated renewal lease structure represented a 46% savings in lease costs in addition to providing the disruption of a move.