Optimization of established buildings
Today, owners of established buildings face many problems. Above all, it is high costs, declining rental income and the declining amenity of older properties that give them cause for concern. Often the building itself is the problem, with the situation compounded by a rapidly changing work environment that constantly throws up new demands. On the other hand, a short supply of real estate and a low interest environment mean that investors are increasingly targeting established buildings.
Optimization of established buildings offers a unique opportunity to tackle and shape the future that a building already has – but only if it is based on a technically sound strategy and a detailed implementation plan.
The first step is to get an overview of the established buildings. This also means finding out which phase of the real estate lifecycle buildings are in.
If you know where a property is in its lifecycle, you hold the key to its economic optimization. The approach used is based on the face of a clock: The hand moves clockwise towards twelve. This represents time running out for the building.
To find out which measures would be useful for the respective established properties, we examine all aspects of each property. We start with an inventory of technology, fitout and the facade to determine the building’s maintenance requirements. Based on this, we clarify the building’s potential and develop innovative solutions to realize it. Our experts support the client with cost-optimized indoor climate concepts and solutions for modern design and more efficient use of space.
We also examine external influences such as existing land-use plans, heritage protection requirements, copyright regulations, ownership issues, and building regulations – for example with regard to fire prevention.
Based on the results of the analysis, we develop scenarios, which we then examine for feasibility. We undertake a sensitivity analysis to evaluate different execution models and rank these transparently.
Our teams examine how the different execution concepts can be implemented during ongoing building operation. They establish investment and operating costs, and examine logistics and scheduling. The scenarios are included in cost-efficiency studies, including net cash value analysis and finance instruments. The portfolio owner receives manageable and transparent decision templates.
To achieve the right optimization strategy, it is crucial to tap and consolidate the client’s real estate knowledge. That is why we work closely with the portfolio owner’s property managers, such as those responsible for asset and property management, and the construction department. Our consultants are able tobalance the different perspectives. In this way, they work with the client’s departments to secure organizational planning, economic and technical feasibility, and the implementation of the project as a whole.
If the portfolio owner decides to implement a particular scenario, our professional project managers plan the necessary measures and ensure its safe realization. In the case of owner-occupied established properties, we support the entire change management process through to move-in. If the property is to be leased out, we provide marketing and leasing support, for example in the form of show floors, visualizations and building descriptions.