Success Stories

Victaulic Company of America

Aurora, IL
61,897 SF
Cresa Atlanta
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Client Objectives

Founded in New York City in 1925, Victaulic is the world leader in grooved and plain-end mechanical pipe joining systems - fittings, valves, flow control devices, etc. In order to accommodate changes in customer demand, the company initiated a project to consolidate distribution for the Midwestern United States to a larger leased property in Chicago, closing down existing owned facilities in Chicago and Detroit.  The client challenged Cresa to find a cost effective solution that would position Victaulic within the center of its customer base, which would assist in improving product distribution while increasing market share.

Cresa Team Members

Results

Cresa worked with an internal client team which was comprised of members from operations, finance, and procurement, and also associates from the local Chicago staff. In order to properly address the trade-off between rental costs and employee retention, multiple submarkets had to be considered. After soliciting proposals from multiple landlords in each short-list submarket, Cresa analyzed all the relevant qualitative and quantitative factors, working with the internal team to account for differences in landlord up-fit allowances, tax rates for the various municipalities, and lease concessions.  Cresa was able to negotiate significant discounts off the initial rental rates, as well as up-front concessions that lead to a turn-key build-out and provided free rent to helped to defray the cost of moving.

Additional Assignments

Houston, Texas              Acquisition         54,000 sf
Houston, Texas              Disposition         24,000 sf
Kansas City, Missouri      Disposition         22,000 sf
Denver, Colorado           Disposition         20,000 sf
Atlanta, Georgia             Disposition         19,000 sf
Detroit, Michigan            Disposition         17,000 sf

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