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Wachovia Bank Building, Winston-Salem, North Carolina
Circumstancial Description Prior to Take Over
- 27-story, 425,000 square foot high-rise and 6-story, 275,000 square foot annex.
- 25 year-old project suffering from deferred maintenance, environmental problems, and ADA non-compliance.
- Owners' long-term objective uncertain due to anchor tenants (90% of space) unkown long-term occupancy plans.
Property Business Plan
- Address deferred maintenance, environmental, and ADA issues as cost effectively as possible
- Maximize net operating income within the constraints of a fully occupied building.
- Renew non-anchor tenant leases at highest effective rates as possible in light of outdated, obsolescent building.
- Enhance common areas and main lobby with new contemporary finishes.
- Institute asbestos management program to minimize abatement costs and maintain OSHA air-quality standards.
- Create short and long-term ADA compliance program.
Results
- Maintained 95% to 99% occupancy levels with a 7.5% increase in effective rental rates.
- Increased parking, utility, and service income of $141,000.
- Decreased utility, payroll, and service contract expenses of $172,000.
- Successfully challenged real estate tax assessment by reducing tax value $7,300,000 and tax bill $72,000.
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