Cost Reduction
Client: Bauer Consumer Media
Project: Endeavour House Consolidation
Commercial Imperative:
In spring 2008 Bauer’s titles had been suffering a weak advertising market and declining circulation. Radical changes and immediate cost savings were needed as the West End magazine portfolio was reshaped for tougher trading times.
CPA Role:
Working with senior operational management and expert space planners Corporate Property Advisers re-planned the business into 30% less space so releasing two floors of prime west end office space. Corporate Property Advisers then lead the implementation team comprising architects, quantity surveyors, facilities specialists and lawyers and through direct negotiations with the landlord surrendered the surplus space.
The Result:
Bauer consolidated from 59,000sqft to 46,000sqft and increased occupational densities by 17% achieved annual savings of over £1m pa. The surplus space was surrendered to the landlord in its existing condition for a small premium; simultaneously Bauer’s lease on the retained offices was extended by a further five years.
