Real estate occupancy costs represent one of the largest operating expenses for most companies. For cost-conscious organizations striving to improve their bottom line, lease audits have become an important tool in benchmarking and reducing their current and future real estate occupancy costs.
DTZ’s Lease Audit Group delivers value to our Office, Industrial and Retail clients by verifying that billed occupancy cost charges are in strict compliance with the specific lease provisions. Millions of dollars in rent and related occupancy costs overcharges have been successfully recovered for our clients. Additional millions of dolars in future cost savings have also been identified over the remaining term of their leases. Further value is delivered by improvements to lease language negotiated with landlords, resulting in more favourable terms for our clients.
Lease Audit Process
A lease audit involves an initial review by our qualified professionals of all lease documentation and landlord annual billings. Potential claims are documented and any opportunities for future cost savings, including recommended improvements to unfavourable lease language,are identified. A comprehensive audit of the landlord’s books and records is conducted where deemed to be appropriate and permitted by the terms of the lease.
All audit findings and claims then summarized in a confidential report for client review and approval prior to submission, negotiation and settlement with the landlord.
Professional standards and practices are employed at all times to ensure the audit is completed in a professional and courteous manner and in recognition of your long term relationship with the landlord.
Our Lease Audit Group is commited to delivering the very best service to our clients by seamlessly coordinating and implementing a standard lease audit process for leased locations across Canada, within a comprehensive client approval, reporting and recovery framework.
The Lease Audit Group delivers value to clients through lower occupancy costs, strategic performance benchmarking and improved lease language.
A lease audit can realize value for your company by:
- Recovering past rent overpayments
- Reducing future occupancy costs
- Benchmarking costs to market
- Ensuring correct landlord billing practices
- Verifying all tenant allowances and incentives have been properly paid
- Identifying unfavourable lease language for future negotiation
- A no-risk approach - if no savings are recovered, then no fee is payable