The Delta Teacher’s Association (DTA) represents the union of over 100 school teachers for the School District of Delta and Ladner. Klein Group, Royal LePage Commercial came referred to the Association leaders because of our background in assisting government entities, municipalities, corporations and institutional clients. The DTA was located in the historical downtown district of Ladner. They were leasing second story office space and were looking to purchase a new office, creating more stability and community orientation for their members.
One of the requirements for the relocation and purchase was to stay in the area as it was central to their service area, the school district and a familiar locale. They wanted to remain integrated with the community and not in an outlying industrial district. The mandate was to identify office space in the small area of downtown “historic” Ladner.
Limited Availability.
The downtown historical area of Ladner is small spanning less than a dozen blocks. Office or retail space was very limited. From a market perspective, there were only 7 commercial transactions in the past 10 years, 4 of which were industrial properties, unsuitable for this application. This presented a significant challenge with no available opportunities. Over a two year mandate beginning late 2009, a number of opportunities were identified; however, none quite fit the requirements or the approval of the CEO and the directors. Either the space was too small, too expensive, the strata was controlled by a majority owner, or the timing would not work.
Cost saving of ownership.
Like many associations, the constitution of the organization required a meeting and vote for large decisions especially real estate purchases. The membership had a special interest in voting on which property the association should not only purchase, but to even make an offer! If we were to source a property, we were concerned that we needed to act quickly. The approval process was slower and more complex than desirable so we went to work on presenting process options to the association. We needed to make every effort to avoid being malequipped in very tight market conditions.
We ensured the association was prequalified for its financing ahead of the search process. We presented several buy vs. lease proformas to showcase the cost saving of ownership, rather than leasing, and the long term financial impact.
Members were gathered and organized to a vote that would empower the directors and CEO to choose a property for final approval with its members after acceptance. Providing high quality communication materials and keeping CEO, directors and membership fully informed was key to a “no surprises” approach. Market sales, comparables, seller feedback and zoning were part of the information bundles.
The outcome allowed the organization to invest in real assets for future security of the organization and put its roots further planted in the community it served. We were able to remove the DTA’s lease obligations and replaced it with an equity building mortgage.
Future security for years to come.
Mortgage payments saved 63% year over year compared to their previous lease payments. In hiring Klein Group, Royal LePage Commercial, dedicated to its success and quality outcomes, we reviewed over 250 properties, directly contacted over 100 off market properties. Our brokerage was able to source properties 200% faster compared to market. We secure the purchase for the Delta Teachers Association of the property in the Ladner Professional Building, Suite 110 - 4977 Trenant St, Delta, BC V4K 2K5, which created value for the organization for years to come.
The downtown historical area of Ladner is small spanning less than a dozen blocks. Office or retail space was very limited. From a market perspective, there were only 7 commercial transactions in the past 10 years, 4 of which were industrial properties, unsuitable for this application. This presented a significant challenge with no available opportunities. Over a two year mandate beginning late 2009, a number of opportunities were identified; however, none quite fit the requirements or the approval of the CEO and the directors. Either the space was too small, too expensive, the strata was controlled by a majority owner, or the timing would not work.
Like many associations, the constitution of the organization required a meeting and vote for large decisions especially real estate purchases. The membership had a special interest in voting on which property the association should not only purchase, but to even make an offer! If we were to source a property, we were concerned that we needed to act quickly. The approval process was slower and more complex than desirable so we went to work on presenting process options to the association. We needed to make every effort to avoid being malequipped in very tight market conditions.
We ensured the association was prequalified for its financing ahead of the search process. We presented several buy vs. lease proformas to showcase the cost saving of ownership, rather than leasing, and the long term financial impact.
Members were gathered and organized to a vote that would empower the directors and CEO to choose a property for final approval with its members after acceptance. Providing high quality communication materials and keeping CEO, directors and membership fully informed was key to a “no surprises” approach. Market sales, comparables, seller feedback and zoning were part of the information bundles.
The outcome allowed the organization to invest in real assets for future security of the organization and put its roots further planted in the community it served. We were able to remove the DTA’s lease obligations and replaced it with an equity building mortgage.
Mortgage payments saved 63% year over year compared to their previous lease payments. In hiring Klein Group, Royal LePage Commercial, dedicated to its success and quality outcomes, we reviewed over 250 properties, directly contacted over 100 off market properties. Our brokerage was able to source properties 200% faster compared to market. We secure the purchase for the Delta Teachers Association of the property in the Ladner Professional Building, Suite 110 - 4977 Trenant St, Delta, BC V4K 2K5, which created value for the organization for years to come.
The trademarks REALTOR®, REALTORS®, and the REALTOR® logo are controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are members of CREA. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. The trademark DDF® is owned by The Canadian Real Estate Association (CREA) and identifies CREA's Data Distribution Facility (DDF®).
The trademarks REALTOR®, REALTORS®, and the REALTOR® logo are controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are members of CREA. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. The trademark DDF® is owned by The Canadian Real Estate Association (CREA) and identifies CREA's Data Distribution Facility (DDF®).
