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Nissen Building, Winston-Salem, North Carolina
Circumstancial Description Prior to Take Over
- Eighteen (18) story, 160,000 square foot downtown office building, built in 1929.
- Property owned and primarily occupied by a non-real estate owner (insurance company).
- Owner/occupant had persistent turnover of in-house building management personnel.
- Property suffered from deferred maintenance, inefficient operations, and no long-term capital replacement plan.
Property Business Plan
- Review and rebid all vendor services.
- Identify immediate repairs and cost saving opportunities in operations.
- Develop plan for reducing expenses of 24-hour, 7-day per week HVAC operation.
Results
- Rebid preventative maintenance services for air conditioning units and gas boilers, adding twice the amount of equipment maintained at the same total costs.
- Began monitoring master heating and cooling controls that resulted in $24,000 savings per year in reduced utility expenses.
- Contracted for new trash collection service with savings of $9,600 per year and new janitorial service with savings of $12,000 per year.
- Repaired air control compressor and replaced one roof. Both below owner's contractors initial bid for total savings of $11,450.
- Used in-house maintenance personnel (vs. outside contractor) for cooling unit service.
- Total savings of $65,000 per year.
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