Copyright ©2022 Tango. All rights reserved.
The Lean Rent Playbook: How to Avoid Hidden Occupancy Costs
2
Every year, enterprises can easily lose more than a
million dollars to the "hidden costs" of occupancy
expenses. Fees. Overcharges. Missed opportunities.
Time spent. Whether you have dozens of locations or
tens of thousands, rent and other occupancy costs are
an operating expense that should be predictable and
controlled—but it rarely is.
The more locations and leases you have to manage, the
more likely you are to miss crucial dates and incur costs that
cause your total occupancy expenses to fluctuate month
to month. And while your lease administration department
has a wealth of expertise they can apply to your portfolio,
every month, they have to tediously navigate renewal dates,
complex payment calculations, compliance requirements,
receivables, and other processes that don't require that
expertise.
Your lease department's time comes with a fixed dollar
expense and, more importantly, an opportunity cost. They
have better things to do.
As COVID continues to ravage the economy, businesses have
extra motivation to lower expenses in the face of lower sales
forecasts. The last thing you want is to pay more than you
have to. For many corporations, that's simply inevitable. But it
doesn't have to be.
Introduction
