GovDelivery Washington, D.C.
GovDelivery was leasing roughly 5,000 SF in a class C office building in downtown Washington, DC. They were rapidly growing and needed to both expand their space and upgrade the building image to match their brand. While they had an early termination option in their lease the cost was high and this greatly hampered their ability to implement the growth plan effectively.
Consideration & Analysis
GovDelivery’s original space was very inefficient and didn’t provide the right kind of environment that they wanted for their customers and employees. Working with both Serten Advisors and their selected architect govDelivery conducted a workplace strategy exercise in order to determine how to have their space be more efficient, productive and inviting. Simultaneously, Serten performed a demographic analysis to find the optimal location based on employee and customers needs.
Serten was able to find a new location that was only 34% larger but accommodated double the number of employees. The impact broadened the options available in the selected demographic area as a function of reduced per square foot price sensititivy. The design of the new space was open and collaborative, and their employees were happy to be in a much nicer building. In addition to an aggressive concession package and below market rental rate, Serten Advisors was able to negotiate a payment from the new landlord for govDelivery’s early termination fee at their existing lease. Finally, the overall transaction structured by Serten was delivered below budget for GovDelivery.