Canadian National Retail Chain Cresa

Client

Superficie

Industrie

Emplacements

Services Fournis

Équipe Cresa

Cresa Office

Client Objectives

One of Cresa’s National Retail Portfolio Clients was renting space which had changed ownership.
The client wanted to ensure their reconciliation continued to be prepared in line with industry standards and the lease agreement.
Under the new ownership, the expenses increase rapidly.

After a comprehensive review, the Cresa Toronto team identified that several expenses, which were either supposed to be excluded or were excessive, were recovered, such as:
- capital project
- pylon sign replaced instead of repaired
- recovery of reserve funds – funds collected by the landlord, in addition to the monthly rent, to finance future capital projects – even though the lease did not allow the landlord to collect this
Fortunately, the landlord was receptive to Cresa Toronto’s analysis and agreed to revise the expenses to comply with the lease agreement.
The correction resulted in immediate savings of $89,000 and future savings of $440,000 for the remainder of the term.