Life Cycle

Every business seeks ways to reduce costs.  To squeeze out maximum efficiency from your real estate, consider each property’s Life Cycle:  (Okay, I admit “Life Cycle” represents two smart words, but typically used as one, and together is really Smart.) 

  • Strategy – Do our current property criteria still support our business plan:  type of property, how many locations, pro forma costs, and expected benefits?
  • Delivery – How do we deploy each property for use:  which specific property should we acquire and what are the market costs to secure and use it? Should we buy or lease?
  • Management – Is each property still productive:  is it efficiently maintained, when does it no longer support our business strategy, current value more or less than expected, when should we replace this property with another, more effective one?

If you do not have a Life Cycle approach in place to govern your corporate real estate portfolio, establish standards and procedures for each Life Cycle phase.  A total Life Cycle approach will minimize mistakes, maximize values, and keep costs at the lowest, most productive level.