We would be happy to give you free advice (without obligation) if you'd like to discuss how to go about your office relocation project. Please call Tim White or Matthew Short at our main office on 020 7828 9009.
Here are some of the top tips we’ve gathered over 20 years helping businesses with office relocation.
1. Give yourself plenty of time
Don’t underestimate the time it takes to find, acquire and fit out new offices. You should really allow nine months to a year for the process, even for a small office: six months to find and negotiate, three months to finalise the lease and procure the fit-out, three months to fit out and move. For anything over 20,000 sq ft you should add more time. Organisations needing hundreds of thousands of feet normally start the process two or three years before they need to move.
2. Minimise the number of decision-makers
Form a relocation committee but keep the number on it low or you’ll never make any decisions. We’ve known partnerships that have looked at over eighty buildings without being able to choose between them. Allocate responsibilities (which will probably change as the process continues).
3. Be realistic with budgets
Set a programme and stick to it (and include some contingency). Define a budget for the entire process; you’re not just going to be buying a fit-out (prices start at around £30 per square foot and can be many times this depending on specification and whether you’re buying new furniture etc), but you’ve also got to pay fees, install new telecoms services, relocate your IT, filing, furniture and fittings. Offset against all this is any inducement (cash or rent free) that your new landlord might give you. Don’t forget any dilapidations obligations you have in your current building. Remember to serve notice on your existing landlord at the appropriate time.
4. Commission a good space audit
Carry out a space audit to clarify what you need. There are many organisations that can do this (fit-out companies and architects) – we, of course, are one of them – and some are better than others. Beware of appointing the first person you meet; this is a classic sales tool of the fit-out companies, many of whom will promise you the earth in an attempt to form a relationship that will win them the fit-out. Ask to see other audit reports that they’ve done and take references. Although the service will be offered for free, you should really consider paying for it – then you have recourse if there’s an error, and you won’t feel obligated.
5. Hire the best commercial agent you can
When you know what you need, appoint a commercial agent to help you find space and negotiate the lease. You don’t have time to do all the legwork yourself and agents know the deals and ‘off market’ opportunities. Try to use an agent who specialises in the area you want to move to and the office size you need. Call Matthew Short at Modus on 020 7828 9009 if you need a recommendation. You should use the company that carries out the space audit to work with the agent so that they can advise on specification and fit (again, pay for the service so that you have some power in the transaction).
6. Determine the criteria for your final choice
Be disciplined and objective about your search. Draw up a list of criteria and weight them so that you can assign a score to each building you look at. It’s probably a good idea to shortlist based on simple measurable criteria such as cost (rent, rates and service charge) and location, and then draw up a more comprehensive set (age, test fit, appearance, specification, other tenants etc) to make the final selection. It’s a good idea to run with two buildings in final negotiations in case one falls through. Your agent and lawyer will help you through the lease negotiation and finalisation process – it always takes longer than you think it will. Allow three months.
7. Use the fit-out process that suits you
There are many ways of buying fit-outs, but the two principal methods are Design & Build (one organisation does everything), and Traditional (a professional team designs the scheme and tenders the works in order to appoint a main contractor). The former method can be faster and has the advantage of single point responsibility, but its critics point out that it’s often difficult to compare competing offerings and some unscrupulous D&B companies can under-deliver on specification. The latter method is more transparent and is almost always used for larger projects (multi million pound) when time allows. It is possible to run hybrid processes where, for instance, you appoint an architect to produce a concept design and then a D&B company to interpret it. Talk to a few people, interview some companies; then decide how you’re going to do it. Modus doesn’t have an axe to grind here – we offer D&B, either using in-house design or one of our many architect friends, or we’ll tender as a pure constructor. Either way you get the same friendly, non-contractual service and high standard of delivery.
8. Choose a fit-out specialist with principles
Whichever way you procure your fit-out, run a competition to choose who you’re going to work with. This can take many forms: for instance, architects normally pitch for work on fees and credentials, whereas D&B companies provide proposals that consist of fully designed and costed schemes. Choose people you can work with and who represent honest, reputable businesses (you’ll need to do some homework here – take references and look at their accounts). Make sure that you’re in control – it’s often a good idea to appoint an independent project manager who can police these processes. Beware of the potential dangers of your chosen procurement route – D&B companies can under-deliver and architects and engineers can over-specify. If you’re not sure that you’ll be able to tell if this is happening, find someone who can help. This is one of the biggest investments your business will make – take care.
9. Ensure you have the appropriate consent
Make sure you understand the nature of all the consents you’ll need to obtain and ensure that your team is picking up responsibility for them and allowing enough time. At the very least you’ll need to get landlord’s consent for the fit out (and won’t be able to start on site without it) and Building Control approval. There are others such as ‘Section 20’ for large buildings, and ‘Planning’ for any external alterations. Then there are the Health & Safety obligations (ask about CDM coordination) on you as a buyer of construction processes.
10. Have someone manage the day-to-day details
Appoint a relocation manager internally to organise the move itself. Make sure things go smoothly by having a detailed programme and in particular check that you’ve ordered the telecoms services in plenty of time. Take the opportunity to carry out a cull of your filing (you should be able to get rid of up to 50%) and use the whole process to relaunch the business with your staff and clients.