Sublease & Disposition Proposal for Vyaire
PRICING ASSUMPTIONS
STRATEGY
TARGET TENANTS
IRVINE
PRICING ASSUMPTIONS TARGET TENANTS
12-18 MONTHS DOWNTIME 3Q 2022 SUBLEASE COMMENCEMENT $18.00 - $19.20/SF NNN RENT PER ANNUM 3% ANNUAL ESCALATIONS 1-1.5 MONTHS OF FREE RENT FOR EVERY YEAR OF TERM 12-18 MONTHS DOWNTIME 3Q 2022 SUBLEASE COMMENCEMENT $20.00 - $23.00/SF GROSS RENT $0.50 PER YEAR ANNUAL ESCALATIONS METTAWA
250,000 SF
95,000 SF
175,000 SF
It is our recommendation that we don’t formerly market an asking rate with either location. Specifically with Irvine, it will be critical to have direct conversations with the brokers in the market that the intent is to structure a direct lease with the landlord and not misrepresent a sublease structure that is likely unachievable and not consistent with our strategy. This approach will result in a buyout with the Irvine Company. Regarding Mettawa, the rent structure good vary significantly based on the amount of space subleased as their good be a go-forward requirement if we subleased the entire space and those costs would need to be accounted for in the sublease terms. Bottom line, neither of these spaces is a simple disposition as there are multiple factors that need to be considered and communicated to the market, so we would recommend marketing the space as “negotiable”. The proposed rates are simply for internal discussion.
62,000 SF
40,000 SF
40,000 SF
35,000 SF
28,000 SF
27,000 SF
TARGET TENANTS
60,000 SF
60,000 SF
30,000 SF
40,000 SF
2 MONTHS OF FREE RENT FOR EVERY YEAR OF TERM
22
23
Made with FlippingBook - professional solution for displaying marketing and sales documents online