Creativity and Flexibility Save the Day at Riverwoods Corporate Center
Creative Approach Benefits Tenants and Ownership
Podolsky|Circle CORFAC International recently completed consulting and brokerage projects for multiple firms with varied goals, all within a single building. It happened at Riverwoods Corporate Center (RCC), the Class ‘A’ office building that Principals of Podolsky|Circle developed in 2006.
- Partners In Design and Office (R)evolution, both existing RCC tenants since 2008, were each looking to economize their operations and reduce occupancy costs.
- Podolsky|Circle, meanwhile, was expanding its workforce to meet the growing needs of its clients in the recovering economy.
RCC, located at 2610 Lake Cook Road, Riverwoods, IL, has historically maintained an occupancy level at or just below 100 percent. As the above divergent storylines were unfolding, however, there was a rarely available suite within the building. That suite, along with the locations of the various tenants’ spaces, ultimately provided Podolsky|Circle the flexibility needed to implement a creative solution satisfying the needs of all three tenants while keeping the building close to full occupancy.
Podolsky|Circle Managing Principal Randy D. Podolsky, SIOR and Principal Corey B. Chase were integral in the restructuring of the leases and repositioning of the tenants.
Office (R)evolution (OR), who occupied the suite adjacent to Podolsky|Circle’s office, relocated to the available suite. The new suite was smaller than their existing space, allowing OR to achieve its goal of reducing its operating expenses, while also drastically reducing moving expenses and saving time and resources.
The newly vacant space that had been OR’s office was in turn smaller than Partners In Design’s (PID) existing space, making it the perfect solution to PID’s space needs. However, Podolsky and Chase saw an alternative solution; they renegotiated the terms of PID’s existing lease with building ownership, allowing the firm to stay in its original space while retaining the flexibility to expand as the real estate market continues to improve.
Podolsky|Circle was then able to increase its space by breaking through the wall separating their suite with the now-vacant space.
In the end, a positive result was achieved for all parties involved!
“Combining Podolsky|Circle’s brokerage, tenant rep and management proficiencies in a series of interlocking deals which met the needs of multiple entities was a fun exercise in imaginative reasoning as well as a great opportunity to flex our various muscles in service to our clients and neighbors,” reflected Podolsky.“All tenants were pleased, added space was leased overall and building ownership benefited in the end.”
Riverwoods Corporate Center is a unique situation because of the building ownership structure. Yet it also demonstrates that when viewed in the context of the broader picture, creative solutions can result in better positioning for tenants and ownership alike.