Mattel, Inc.
Challenge
This assignment involved the relocation and consolidation of three 250,000 square foot buildings into a 1.275 million square foot building in San Bernardino, on the former Norton Air Force Base, developed by Hillwood.

Timing was critical, as 80% of Mattel’s revenue occurs over Christmas. Mattel had to be in the space by May 2004 in order to inventory and distribute their toys before the Christmas season.


Strategy
Colliers issued 10 requests for proposals in November of 2002, and met with each respondent to insure entitlements were in place.

The search was based in the Western United States but had to be port accessible, it extended from Bakersfield to Otay Mesa.


Results
The project was completed on time and under budget at a price that was 32% less than the per square foot price of Mattel’s former buildings in Chino.

Toyota Motor Sales, Inc.
Challenge
In July 2003, TMS engaged the Colliers account management team and our Location Advisory & Incentives Practice to review and assess Toyota de Puerto Rico’s real estate holdings and consolidation options throughout the Caribbean. Colliers was instructed to review Toyota’s own predefined consolidation options and validate the existing plan or generate new consolidation alternatives.

At that time, Toyota de Puerto Rico owned or leased four primary properties in San Juan, including: a headquarters and service training facility; a parts distribution center; a vehicle distribution center; and vacant land. All three facilities were considered inferior to Toyota corporate standards, one was operationally inefficient and also presented occupational safety risks; and the vacant land had environmental and land use constraints. Most importantly, the real estate market was very inefficient with few availabilities.


Strategy
Achieve optimum real estate portfolio to provide for the unusually fast growing market share Toyota was achieving (now 30%); Establish a plan that could actually be achieved logistically and financially in light of the difficulty of doing business in the greater Caribbean, especially Puerto Rico; Set and maintain firm real estate cost budgets for implementation within targeted time frames; Provide flexibility for Toyota’s greater than normal market share volumes; A thorough Needs Analysis based on direct input from local Toyota management; Property-specific Findings, Conclusions, and Recommendations for the leased and owned assets, including an urgent recommendation to deal with a previously overlooked environmental risk; A detailed review of the 5 predefined Toyota consolidation strategy options, with two additional Colliers-defined options; Short-term and long-term Financial Analysis based on real estate sales, leasing and construction cost estimations, and our local Site Screening efforts; A report based on meetings with PRIDCO, the economic development authority for the island, highlighting existing Business/Economic Incentives programs and an opportunity to create new incentives opportunities specific to Toyota.

Results
Since delivering our consolidation strategy report to TMS, Colliers has been involved in the implementation of the plan in Puerto Rico and it has proven very successful in aligning the real estate portfolio with the company’s strategic goals. Target budgets have been achieved.