Securing a location: A partner of NAI Global acts as consultant for one of the largest lease prolongations of logistics properties in the US

The rental contract for the 111,500 sqm wide space, located 320 km south of Chicago in an industrial settlement with 12,500 people, was about to expire in 2011. In order to keep this desirable anchor tenant with approx. 300 places of employment, that has been based at this location since 1986, Effingham had to dig deep into their pockets and offered an incentive package with a value of 2.5 million US Dollar. At the same time the lessor and investor of this property invests approx. 3 million US Dollar for renovations for the lease prolongation of seven years. Furthermore NAI Roberty Lynn, partner of the NAI Global network, who has successfully consulted the colour giant, was able to achieve considerable rental reductions for his client. In the US the vacancy rates for warehouses increased in the second half from 9.4 per cent in 2008 up to 12.2 per cent in 2009. "If it is possible to keep an important tenant, a city or community doesn't loose jobs, companies are able to save rental costs through negotiations and lessors have no vacancy problems ", Axel König MRICS, CEO NAI apollo, sums up the advantages of cleverly negotiated lease contracts.