Tri Properties Corporate Services Division Representative Process For Comparative Lease Analysis And Strategic Negotiations

1. Establish a Committee
It is critical to establish a well-balanced committee capable of providing on-going input on strategic, budget and operational issues. Ideally this committee has representation from Senior Management, Finance and Operations. This committee, in conjunction with your Tri Properties' consultant(s), will facilitate the process from concept to fulfillment.


2. Analyze (Abstract Existing Leases)
Identify lease expiration dates, options, key notice dates, and compare current occupancy costs to comparable corporate leases in the marketplace.

3. Define Occupancy Objectives
Identify the organization's short and long-term occupancy objectives and future staffing needs and generate general programming elements including office to workstation ratios, conference and training requirements, labs, storage, etc. This phase of the process will evaluate and update existing corporate standards and assist in the development of new standards on an as-needed basis.

This phase of the project will generate key parameters necessary in the evaluation of options in the marketplace, including square footage requirements, geographic and budget parameters, building class preferences, minimum footprint sizes and key infrastructure requirements.

Additionally, the committee will jointly assess the quantitative elements of the analysis most important/relevant to the organization's culture. These elements may include image, geographic location, accessibility, and proximity to customers and/or employees and amenities.

Tri Properties consultants can help identify additional service providers during this phase, including architects, space planners, engineers and construction management consultants.

4. Identify All Options
Using the team's newly established occupancy objectives and parameters, Tri Properties, Inc. will, through its extensive national network, conduct a comprehensive survey of the marketplace (locally, regionally and/or nationally) utilizing advanced web-based software and proprietary databases

Upon completion, Tri Properties, Inc. will present surveys, maps, aerial photographs and building materials in a comparative matrix highlighting key financial and no-financial elements of each option. Tri Properties, Inc. will then coordinate a property tour with the team, from which a "short list" of buildings will be jointly established.

5. Negotiate The Options
Tri Properties, Inc. will develop a customized Request for Proposal (RFP) around your organization's short and long-term occupancy objectives, which we will then issue to each of the owners on the "short list". The RFP process assures that all prospective Landlords (including your current Landlord if applicable) respond in a uniform/consistent format, addressing all of your specific requirements. This document establishes a competitive platform for the negotiating process, providing key leverage with select owners in the marketplace.

Throughout the negotiating process, your Tri Properties, Inc. team will provide detailed financial analyses using proprietary software. These analyses include cash flow comparisons, NPV calculations, net effective rental rates, efficiency analyses and more. The reports may be customized to suit the needs of publicly traded or privately held entities. (See enclosed sample cash flow analysis)

Once final deal terms are agreed upon, Tri Properties, Inc. will consult with your in-house or outside counsel to assist with review of pertinent transaction documents (i.e. LOIs, leases, purchase/sale agreements, assignment/sublease documents, etc.). Should your company require corporate real estate legal representation, we can help identify legal resources to represent your interests. Your Tri Properties consultant(s) and legal expert will see these negotiations through full execution of all pertinent transaction documents.

6. Fulfillment - The Project's Completion
Using in-house resources, Tri Properties, Inc. can offer construction management services to oversee the successful buildout of your space, providing a competitive bid process and assuring an on-time/on-budget delivery. Additionally, Tri Properties, Inc. can coordinate your move with the help of our in-house Facilities Management team. These services may be tailored to your needs, and may range from a "turn-key" move package to individual vendor selections for services such as furniture, IT infrastructure, vending services and more. Following occupancy our Property Management team is available to assist with OPEX evaluations and reconciliations, as well as on-going CAPEX analyses and building system evaluations, liability and property insurance evaluations.


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