The Sundance Company – Page 22 – The Sundance Company

Commercial Real Estate Investment Remains a Smart Play

In economic terms, inflation is defined as a rise in the general level of prices of goods and services in an economy over a period of time. When prices rise, each unit of currency buys fewer goods and services, eroding real consumer purchasing power. Although deflation also is a risk to the economy, moderate inflation is much more prevalent over the course of modern history.

In the long run, the most significant factor influencing inflation is the growth rate of the money supply. Inflation occurs when the nominal supply of dollars grows faster than the real demand to hold dollars. However, in the short and medium term, inflation may be largely affected by supply and demand pressures in the economy, and influenced by the relative elasticity of wages, prices, and level of interest rates.

In the U.S., inflation is estimated by calculating the rate of change of the Consumer Price Index (CPI). The CPI measures prices of a selection of goods and services purchased by a typical consumer. The magnitude of inflation — the inflation rate — is usually reported as the annualized percentage growth of the CPI Index.

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About The Sundance Company
Established in 1976, The Sundance Company has the experience to help you with your commercial real estate needs in Boise, Meridian, Nampa, and the greater Treasure Valley. If your requirements include property management, leasing, real estate development, project planning, construction or space planning then look to us. The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime Boise and Meridian locations. More information is available at www.sundanceco.com or 208.322.7300.

September 18, 2010September 14, 2010 sundancecompany Silverstone Amenity Center, The Sundance Company

Meet Me at Silverstone Amenity Center

No detail has been overlooked in any of the Silverstone Amenity Center conference and meeting rooms, which feature the integration of high-tech audio/visual capabilities, wireless internet, and video teleconferencing. Whether you’re hosting a business meeting, corporate retreat, or holiday party, The Silverstone Amenity Center is the perfect location for any occasion. Located at the corner of Eagle and Overland Roads, in the Silverstone Park, the Amenity Center is right in the heart of the Boise Valley.

Additional on-site services include:

Business Concierge
Food and Beverage Catering Arrangements
Presentation Equipment
Commercial Catering Station
Free Parking

More information available at www.silverstoneamenitycenter.com.

September 11, 2010August 20, 2010 sundancecompany telecom expense management, The Sundance Company, wireless expense management

Telecom Expense Management Can Help Lower Business Costs

Are there other ways of reducing your expenditures without affecting your personnel?

One of the largest expenses that a business may incur is their telecom expense. It is right up near the top of the list in many cases. If there were a way to reduce the amount of money spent on telecom without reducing the way you conduct business, would you be interested? Well, there is a way to manage your telecom expenses, and it is called telecom expense management.

Telecom expense management, or TEM, can help you control it all. Telecom can be a wild and unruly creature when left on its own, but with proper attention, it can be reigned in and massaged into a well-mannered part of your company. The problem with telecom – especially the wireless end of the spectrum – is that uncontrolled inventory, services, and “who has what device” costs you dearly. The following are some of the critical components of an effective telecom expense management strategy.

Asset Management is essentially inventory control for wireless devices. The TEM team uses software to keep track of each device and who has it. It is successful only if some of the following aspects of TEM are utilized in conjunction with it.
E-Procurement. This is the process that controls how any new device is acquired, every exchange is documented, and all repairs are noted. It assures that only approved devices are obtained. This is accomplished by having a single, centralized point through which everything is approved and procured.
Invoice Validation. A research group found that up to 12% of all wireless service invoices contain errors, and 85% of those invoices are paid without question. It may be hard to believe, but a majority of the errors are in favor of the vendor and/or service provider.
Expense Optimization is just what it sounds like. The telecom expense management team ensures that you are getting the best deal for your telecom expense dollar. They are vendor-neutral, and will find the most cost-effective vendors and service providers for your business.

September 4, 2010August 20, 2010 sundancecompany blackeagle center, Boise Commercial Real Estate, Boise Industrial Space, Boise Office Space, Boise Retail Space, The Sundance Company

Blackeagle Plaza: Boise Commercial Real Estate for Lease from The Sundance Company

The Sundance Company, a commercial real estate leader with more than 1.5 million square feet of office and industrial space available in prime locations throughout the Boise Valley, is pleased to present the Blackeagle Plaza for lease.

Blackeagle Plaza is a Class A commercial real estate space located in the Blackeagle Center, which is a 45-acre, master-planned business park developed by The Sundance Company. The Blackeagle Center is home to coffee and sandwich shops, athletic centers, as well as various medical providers. There are six access points to the center off of Overland Road and Maple Grove Road. Blackeagle Center is located 1/3 mile from the Interstate, minutes from the Boise airport and downtown Boise, and within 2 miles of more than 3 million square feet of retail amenities for employee convenience including Costco, Wal-Mart, Lowe’s, Albertsons, Fred Meyer, Walgreens, Cabela’s, Starbucks, the Boise Spectrum Theatre Complex, and the Boise Towne Square Mall. In addition to these retail establishments, there are a large variety of banking, day care centers, restaurants, fitness centers, and a library in the surrounding area. Other highlights of Blackeagle Plaza include:

Building Size: 33,597 square feet
Site Area: 2.43 acres
Year Built: 2006
Number of Floors: Two
Parking: 5/1,000 usable square feet
Construction: Reinforced concrete tilt-up with 8-inch square steel columns on approximately 34’ x 36’ grid
Exterior: Reinforced concrete tilt-up panels with artificial stone and stucco finishes
Roof: Single ply EDPM membrane roofing system
Floor Construction: Ground Floor – 4” reinforced concrete slab. Second Floor – 3 1/2” to 5” of concrete over corrugated steel pan
HVAC: Ground Floor – 2 to 5 ton, 13 seer condensing units with 5-20 kw heater with relays. Second Floor – 3 to 6 ton gas fired rooftop units
Ceiling: Lay-in acoustic ceiling panels in 2’x4’ T-bar ceiling grid with indirect and recessed lighting
Elevator: General purpose, 2,100 lbs capacity, 100 feet / minute
Ceiling Height: 10 feet in office areas
Restrooms: Ground Floor; also in Tenant’s suites. Second Floor – common restrooms around elevator core; also Tenant suites
Life Safety: Wet pipe fire protection system with alarm valves with Fire Department Connection

August 28, 2010August 20, 2010 sundancecompany The Sundance Company, wireless expense management

Saving Technology Costs with Wireless Expense Management

Companies today are always looking for ways to save money and one such solution is wireless expense management. It is well documented that telecom expenses are often near the top of the list of expenses for businesses. Finding savings wherever you can is important in today’s current economy so reducing wasteful spending might mean the difference in what color ink you use to write your bottom line. Telecom expense management (TEM) deals with reducing the waste and inefficiency that is inherent within an uncontrolled telecom system. Telecom expense management has a cousin called wireless expense management (WEM). WEM is concerned only with your wireless expenditures, while TEM takes in everything else including your hard-wired phone system. You probably need one or the other, but the focus of this article is on wireless expense management.

Research has discovered that anywhere from 7% to 12% of wireless telecom invoices have errors, and those errors over time can have a huge impact on your company’s profit margin. Did you know that a vast majority of those errors were in favor of the vendor/service provider? Did you know that 85% of those invoices were paid without question? Wouldn’t it be great if you could recover those dollars? A wireless expense management company can do that for you. Generally, wireless expense management companies work on a percentage basis, and therefore they have an incentive to do their best to save money for your company. Invoice validation doesn’t cost … it pays.

Finding a wireless expense management company is easy. Finding a reputable one that covers every angle of WEM isn’t quite so simple, but by spending some time researching wireless expense management firms online you will find the right company you can depend on for your WEM needs. A good company will have a seasoned leadership team that will audit, negotiate, and act on your behalf to save you money, and they will also offer you a free communications expense audit.

August 20, 2010 sundancecompany Boise Commercial Real Estate, Boise Office Space, Boise Retail Space, The Sundance Company

Imaginative Leasing: Commercial Real Estate in the Boise Valley

A recent story in The Idaho Statesman discussed how tough economic times in the Treasure Valley are producing an intriguing by-product in the leasing of commercial buildings: free rent.

The Sundance Company was one of the first commercial real estate companies in the Boise Valley to realize how difficult the economy was on some of the local businesses and that is why they introduced their “Exchange of Business or Trade Services” for lease space program at the beginning of 2010.

The Sundance Company recognized the hard economic times, and also the importance of business relationships. So they worked with firms that had a need for retail, office, or industrial space in the Boise Valley, and with over 1.5 million square feet of space available for lease, The Sundance Company can meet most the needs of most businesses.

You can read the rest of the Statesman story here

August 14, 2010August 4, 2010 sundancecompany Boise Commercial Real Estate, commercial real estate, The Sundance Company

Commercial Real Estate Lease Options in the Boise Valley

When you negotiate your real estate lease there are several options to include. The most common is the option to renew. Since landlords will want to raise the rent at the end of the initial agreed period, this will need to be addressed in advance. If you can get an option to renew at a predetermined fixed price, as opposed to renewing at the fair market price, you will likely save money when the initial term of the lease ends, especially if office rents have escalated.

A short lease with one or more options to renew gives you some flexibility. Typically, you have a certain time period before the end of the initial lease term in which you can notify the landlord in writing that you want to renew the lease at the predetermined amount. There may be an additional fee, also agreed upon in the initial lease for exercising your right to stay. Generally, with the exception of the increase in rent, other terms of the initial lease will carry over into the renewal period.

Another option you might include is the option for additional space. Being able to expand is key for a growing business. A landlord who sees the potential of having an important tenant that may attract other businesses, especially in a mall or similar retail situation, may be more inclined to grant you an option for additional space. You will need to examine and negotiate the terms for renting such extra space and make sure the space is suitable to your business needs.

The option for additional space may state that you will expand at the same per square foot rate that you are currently paying, at a fixed rate of increase or at the fair market rate at the time of the expansion. This will need to be determined when working out the initial option agreement. Such an option can only be included if the landlord can reserve or make such space available. A landlord may counter by offering you a right of first refusal, meaning you have first choice on any empty space at the same rental rate that any other tenant will pay. Again, it is a matter of which one of you is in the stronger position.

Also, becoming more common in commercial leases is the option to terminate the lease early. Landlords may offer such clauses to higher profile businesses to entice them to sign longer-term leases and help draw other established tenants into the facility. The landlord will receive some form of compensation if the tenant exercises the option to leave early. In the case of retail leases, particularly at malls, landlords may guarantee a level of occupancy among surrounding storefronts. If that level, for example 75 percent occupancy, is not met by a certain date, the tenant then has the option to terminate the lease.

August 7, 2010August 4, 2010 sundancecompany Boise Commercial Real Estate, Boise Industrial Space, Boise Office Space, Boise Retail Space, Meridian Industrial Space, Meridian Office Space, Meridian Retail Space, The Sundance Company

Boise Commercial Real Estate Terms You Need to Know

When buying or leasing office, retail, or industrial space for your business you should be familiar with some common real estate terms to help make the process as seamless as possible. Besides the terminology, another consideration should be the person you work with to identify real estate opportunities and bring the deal together. Make sure that you find the right real estate professional like The Sundance Company to guide you through the process and help you find the kind of property you need for your business in the Boise Valley including Meridian, Nampa, and Caldwell.

Appraisal: a written report by a state-licensed professional that includes an unbiased analysis of the property’s value and the reasoning that led to that opinion. An appraisal report is required for any property sale.
Broker: an agent who brings together a buyer and a seller, or a landlord and a tenant, in a real estate transaction. All brokers must be licensed by the state in which they work. Most work on commission, and the landlord or seller usually pays the fee.
Build-to-suit: a method of leasing property in which the landlord makes improvements to a space based on the tenant’s specifications. The cost of construction is generally factored into the lease terms. Most build-to-suit provisions apply to long-term (10-year) leases.
Concessions: benefits or discounts given by the seller or landlord of a property to help close a sale or lease. Common concessions include absorption of moving expenses, space remodeling, or upgrades (also called “build-outs”), and reduced rent for the initial term of the lease.
Escalation clause: a clause in a lease that allows the landlord to increase rent in the future. Rent increases dictated under an escalation clause may be charged in various ways, including:

• A fixed increase over a definite period
• A cost-of-living increase tied to a government index, such as the tax rate
• An increase directly related to increases in operating the property

HVAC: an acronym for “heating-ventilation-air-conditioning” system. In a commercial building, the landlord generally is responsible for maintaining the HVAC.
Lease: an agreement by which the owner of a property (the “lessor”) grants the right of possession to a tenant (the “lessee”) for a specific period of time (the “term”) for a predetermined amount of money (the “rent”). A “leasehold estate” is the space occupied by the tenant. Common types of leases include:

• A straight, or flat, lease, which stipulates that the same periodic payment (usually monthly) be made for the entire term of the lease.
• A percentage lease, which uses a percentage of the net or gross sales to determine the monthly rent. This is most often used in retail properties and with a minimum base rent.
• A net lease, which requires the tenant to pay maintenance, taxes, insurance and so on, along with a fixed rent. This is also called “net-net-net” or “triple net.”

Lien: a legal claim filed against a property for payment of a debt or obligation. If a property owner fails to pay a creditor, for example, the creditor can place a lien on the property. A lien can halt the sale of a property.
Sale-leaseback: a transaction in which an owner sells a property to an investor, who then leases the property back to the original owner under prearranged terms. Sale-leaseback deals offer the original owner freed-up capital and tax breaks and the investor a guaranteed return and appreciation.
Sublease: a lease given by a tenant for some or all of a rented property. For example, if a tenant rents 20,000 square feet but only ends up needing 10,000 square feet, they may want to sublet the extra space for some or all of the remaining term of the lease, providing they continue to occupy and pay rent for the property.

August 1, 2010July 25, 2010 sundancecompany silverstone business campus, Silverstone Corporate Center, The Sundance Company

Silverstone Amenity Center

Whether you’re hosting a business meeting, corporate retreat, or holiday party, The Silverstone Amenity Center is the perfect location for any occasion. Located at the corner of Eagle and Overland Roads in the Silverstone Park, the Amenity Center is right in the heart of the Boise Valley. Additional on-site services include:

Business Concierge
Food and Beverage Catering Arrangements
Presentation Equipment
Commercial Catering Station
Free Parking

More information available at www.silverstoneamenitycenter.com.

July 25, 2010 sundancecompany Boise Commercial Real Estate, Boise Commercial Real Estate Development, Boise Industrial Space, Boise Office Space, Boise Property Management, Boise Retail Space, commercial real estate, The Sundance Company

Looking For New Office Space? Don’t Make These Mistakes

Following payroll expenses, facilities and related expenses are generally the second highest expenditure for a company. While people are naturally the most important asset to a company, real estate decisions should not be far behind. Too often though, companies fail to see the significance of real estate in the same light.
The impact real estate has goes far beyond the bottom line because it plays an important part in everything from employee retention to the level of productivity and workplace morale. It’s for these reasons that companies should always be cognizant when making real estate decisions.

The top mistakes that companies make when leasing space are:
• Waiting Too Long to Start The Process. The longer a tenant waits to start the process, the fewer the number of options that will be available to them. Waiting too long can mean that a tenant will pay more, receive less favorable lease terms, or that they are forced to leave and take less than desirable space elsewhere.
• Leasing The Wrong Amount of Space. Figuring out how much space to lease is not an exact science. Forecasting involves assumptions, which can often lead to costly mistakes if incorrect. Uncertain events notwithstanding, companies should take the time and effort to work with a space planner or architect to plan and program to determine the right amount of space to lease. With that information in hand, companies should then go one step further and think about the impact certain business scenarios would have on that number, the likelihood of those events happening, and adjusting the number so as to minimize the likelihood of taking down too much or too little space.
• Picking the Wrong Location. What may seem like the right location might in fact not be. Companies should consider things such as access, public transportation, demographics, zoning laws, and other factors to help identify the right location for their business.
• Not Thinking About The Future. Aligning a real estate plan with a corporate business plan is difficult to do when milestone events and setbacks do not always go according to plan. To help deal with the “unknown”, negotiating leases which provide both expansion and contraction rights to the extent possible is therefore instrumental. Companies need to go beyond the simple lease and think about sublease rights, expansion rights, rights to cancel, and options to extend.
• Not Measuring The Space. Companies should strongly consider verifying the landlord’s square footage numbers. In larger transactions, even a small difference can translate into a large savings. If it is not possible to measure the space, tenants should at least try to negotiate a tolerance in the measurement. Generally though, and per BOMA standards, a variance of up to 2% is acceptable.
• Signing Too Long or Too Short of a Lease. Companies often think that by signing a short lease they are buying themselves flexibility. That may be true in many cases, but that flexibility often comes at a price. On the flip side, tenant’s may feel a long term lease provides maximum stability, but there are far too many cases – particularly in Silicon Valley where swings in rent can be large – where long term leases signed at the height of the market have gone so far as to force companies into bankruptcy or caused severe harm to the company. It’s therefore imperative that companies take a long-term approach to real estate, while keeping short term trends and business activities in focus.
• Not Verifying Building Systems and Infrastructure. In today’s environment, data, power, networking, and HVAC capacity and availability are crucial. Tenants should ensure that buildings they intend on occupying are capable of providing the network connectivity and other building systems necessary for a tenant’s operation before signing any lease.
• Not Having Your Insurance Carrier Review the Lease Language. Tenants should always have their insurance carrier review the language within a lease that pertains to insurance and subrogation to verify that the insurance is not only attainable, but attainable at a reasonable cost. It is strongly recommended that the actual lease or lease language be sent to your insurance carrier for review before any lease is signed.
• Not Retaining Legal Counsel. By using an attorney well versed in the documenting of a real estate transaction, companies can help avoid ambiguity and errors which could lead to expensive litigation or legal wrangling down the road.

If you are looking for commercial real estate space and do not want to make one of the preceding mistakes then contact The Sundance Company and we can walk you through the process of procuring a great location for your business. Established in 1976, The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime locations throughout the Treasure Valley including Boise, Meridian, and Nampa so contact us today to see how we can help you find the right office or retail space for your company. More information is available at www.sundanceco.com or 208.322.7300.