Challenge: Located in New England, this company was focusing on development of new infusion management systems for hospitals. Based on its growth strategy, it would require a larger headquarters which would also allow it to expand its R&D capabilities as it prepared for FDA approvals. Further, the current location was too small and could not accommodate any continuous expansion. As an added challenge, our client would need to attract senior level technical and software personnel at its new location.
Strategy: We completed an analysis identifying where senior level software personnel resided, and also identified significant pockets of medical device employers from which Ivenix could recruit. In addition, we developed a comprehensive real estate strategy which included multiple market tours, obtaining competitive lease proposals from several landlords and using these as leverage to aggressively negotiate with the preferred finalist property selected by Ivenix.
Results: After aggressive negotiations, the rent was compressed by $335,000 and our client received a tenant improvement allowance totaling nearly $775,000. The outcome yielded total savings of just over $1,100,000.