LETTINGS & MANAGEMENT | Transforming a Struggling Industrial Block into a Profitable Asset

In this case study we explain how we transformed a mostly vacant light industrial building into a rental revenue generating power house, generating over £500k per annum for the landlord.

The Challenge

When our Director arrived at the industrial block on Raven Road, South Woodford, he found the landlord in distress. Sitting with his head in his hands, surrounded by pen, paper, and a calculator, the landlord was overwhelmed by mounting expenses. So absorbed in his worries, he didn't even notice our Director enter the office.

Despite the freeholder already earning an annual six-figure income from the site, most of the building remained vacant. Multiple agents, ranging from local firms to well-respected national names, had failed to let the property.  The landlord was haemorrhaging money during this time.

Our Approach

Reality was appointed to turn the situation around. Within weeks, we had secured agreements to let the vacant parts of the building at double the expected rent. When existing tenancies expired, we re-let those spaces for twice or more the rent paid by the outgoing tenants.

The landlord was amazed by the transformation, calling our Director a "maverick." His wife commented that the energy of the building changed positively as soon as our Director walked in.

The Results

Reality created an annual rent roll of c.£500k for the landlord. This recurring rental income eventually enabled the freeholder to sell the property at a record high price. The freeholder reinvested the proceeds into another site, which Reality then successfully re-let, creating a "rinse and repeat" model for future investments.

Conclusion

This case study highlights our ability to transform underperforming properties into highly profitable assets. Our strategic approach and effective management not only resolved the immediate issues but also set the foundation for ongoing success and growth.