PROJECT TEAM
Charles H. McKenney
Alex W. Hammerstein
Chanie Richey
Phillip Infelise
CresaPartners

Initially, Spyder was surveying the market for a 14,000-square-foot requirement. CresaPartners was able to negotiate terms on a 26,000-square-foot single-user property without increasing Spyder's occupancy costs or the effective rent it would have paid for the 14,000-square-foot space. This equated to $281,142 in rental savings. Additionally, CresaPartners was able to gain an increased tenant improvement allowance of $7 more per square foot against the entire requirement.

Because CresaPartners also negotiated the removal of the "Landlord Construction Management Fee," Spyder was able to apply that savings to CresaPartners' Project Management fees for services that delivered added cost reductions, including:

Cost Savings Initiatives during Construction
CresaPartners reduced construction costs by 25% once tenant improvement had begun through aggressive value-engineering, which included a significant savings simply by re-hanging Spyder's current light fixtures on chains in the area where a drop ceiling was removed.

Showroom Benefits Cost Avoidance
The new, larger space allowed for a merchandising showroom that enabled Spyder to host buyers in their space, rather than travel across the country and set up booths. In the first year alone, Spyder estimated that this feature saved $210,000.

Furniture Savings
The architect selected the furniture vendor, who presented three options that were at least 50% over budget. CresaPartners immediately sought bids from three alternative firms and, within three days, found a vendor with acceptable product at a savings of over 60% of the original bidding firm.

CresaPartners' integrated transaction and project management services delivered a total savings of $847,952. Total fees paid to CresaPartners were $182,000, for a net savings of $665,952 on a corporate HQ project that met all of Spyder's needs and was delivered on time and under budget.