Tenant improvements are essential and vital aspects of leasing. When planning tenant improvements, you are faced with a variety of decisions and questions:
- Will this result in a ROI?
- How will I balance scheduling, estimation and job cost?
- Will I be doing green practices?
- How will I manage contracts with designers, vendors and contractors
There are many aspects to consider, however, when tenant improvements are executed well, improvements can please current tenants, impress prospective tenants and add value to your building and community. Tenant improvements give companies, like Block Real Estate Services (BRES), the opportunity to truly tailor their space to the tenant and have the best relationship possible with their tenant. A good example of a quality tenant improvement project is the work on Pine Ridge Business Park for Henderson Engineers, Inc.
Henderson Engineers, Inc. is an engineering company that employes about 440 nationwide and 350 locally. The company was leasing from BRES and occupied a 67,000 square foot space within the Pine Ridge Business Park in Lenexa, Kansas. Henderson was growing as a company and began to seek out a new space to fulfill their need for more room.
Block Construction Services, (BCS)BRES offered more space within the same business park and executed tenant improvements to keep Henderson as a tenant. In a multi-million dollar agreement Henderson announced on January 6th that they were moving and expanding their national headquarters to a newer 84,500 SF, located in Pine Ridge, just across the parking lot from their old space.
“Relocating to this office space, with its increased square footage, amenities and corporate presence, is another sign of our growth and progression,” said Rich Smith, Executive Vice President. “It further solidifies us as a true local, regional and national consulting engineering firm” (Kansas City Business Journal).
As a result of the BCS improvements, BRES was able to retain Henderson and bring recognition and pride to the Lenexa community: “We are pleased with Henderson’s decision to once again re-locate their corporate headquarters within the city of Lenexa and appreciate the continued partnership we have developed with the company and Pine Ridge Business Park, in providing a high quality work environment for their professional staff. Henderson’s national reputation as a top tier engineering firm brings significant recognition to the city as a quality place to do business,” stated Lenexa Mayor Mike Boehm (Kansas City Business Journal).
Happy landlord, happy tenant, happy community makes for a win-win-win situation in this case study. Tenant improvements to a space can greatly increase its value to a client and also help the surrounding community. Use every resource at your disposal to create the best environment for your tenants to thrive in so they stay your tenants.
Brad Simma, CCIM
Block Real Estate Services, LLC