SL Plastics has been machining components for the conveyor, processing and packaging industries for over 20 years. A specialist engineering and fabrication operation. As a successful and growing business, it can be a challenge to find suitable properties.

Spencer Leaver the MD was initially introduced to Jonathan (The Lease Negotiator) through a recommendation from his bank. There was a need to negotiate the lease on a property. A task that can be very time-consuming if you’re busy running a business.

“Initially I thought why do I need to pay someone to do this, I can do it myself. But I was extremely busy and knew this was Jonathan’s specialist subject. You go to the experts when you need help, I mean you wouldn’t operate on yourself if you needed surgery.”

Following a successful negotiation, the company occupied the property. But after a period of consistent growth, it was apparent the business had now outgrown the building. 

There was a shortage of suitable properties which meant they needed options. Consideration would need to be given to either leasing something bigger, building a new unit or purchasing a property. Jonathan helped them by evaluating what was needed and encouraging them to look at the bigger picture.

Identify the need

It had been clear for a while the business had outgrown the current premises. The original plan was to buy the plot of land adjacent to the current building. A new unit could then be built to deliver the additional space in the same location.

As a consequence, Jonathan did the calculations. These showed that in reality, this option did not make financial sense. A wider search would be needed to find a more suitable property.

“I was happy with the service Jonathan provided in negotiating our initial lease. But rather than just go ahead and deliver our first option he encouraged us to look at what we needed from a different angle. A little bit of thinking outside the box.”

Office accommodation would be needed but this was only a small element of the overall requirements. The manufacturing and warehouse space had to be 50% bigger. Spencer also wanted to remain local to Thetford because this was where staff were located.

There were also time constraints associated with any move. The lease on the current property was due to expire within a year. Which meant the business would have to move out and relocate to a new building within 12 months. As a manufacturing company, this was going to be a challenge.

Deliver the solution

The ideal scenario for the property search would be to find a suitable vacant building. But it was proving difficult to locate the right medium-size unit. There was nothing available which meant other options would have to be considered.

A unit was eventually found but it was already occupied by a tenant. It was being sold as an investment. This was the starting point for the negotiations. Everything would need to come together both in terms of agreement on the price and to negotiate with the existing tenant to vacate the premises. Timescales were tight and it would require a dedicated effort.

“We trusted Jonathan to act in our best interests. I dislike other agents who talk in riddles and aren’t timely with their responses. Jonathan is always focused on getting the best deal for us and negotiating the nitty-gritty.”

The lease on the existing building was due for renewal in a relatively short period. This meant there would be a major issue if this deal didn’t happen as there wouldn’t be enough time to source a different property.

Jonathan was able to negotiate the deal and it concluded successfully. The new premises were purchased in time for the renovation work to be done and the move to be planned, prior to the existing lease coming to an end.  The timing was perfect.

Realise the benefits

For a business that is growing 30% year on year, it was inevitable SL Plastics would outgrow the current building. A shortage of suitable properties was a challenge. Using his local knowledge, Jonathan was able to advise on several alternatives.

Being open to ideas and listening to what was needed was crucial, enabling the relevant advice to be given. The original plan would have meant the building wouldn’t be big enough to absorb any expansion. The property that was sourced and delivered has given them this option.

“With 30 years in the business, I do understand about negotiation. Jonathan is very good at saving me time and money by bringing options to the table and getting the deal done. He was recommended to me and I’d certainly return the compliment and recommend him to any business.”

Being able to rely on the relevant expertise allowed Spencer’s focus to remain on running the business. In the end, delivering a better solution that will accommodate an expanding company.