Occupier retention in challenging times

At the beginning of 2011, Fujitsu Tower, located in Wellington’s CBD, had a number of tenancies due to expire. Given the then very challenging and deteriorating leasing environment, Oyster created and entered into a unique arrangement with an independent consultant to co-ordinate office leasing at the property.

The independent consultant was a specialist in working with, and marketing to, all commercial real estate agents operating in the market.

The typical leasing strategy of giving a ‘sole agency’ to a real estate agent was too limiting in the environment of the time and, too often, opportunities were missed due to an engaged tenant agent.

After several months of hard work, the arrangement bore fruit with three new blue chip tenants secured. In addition, cornerstone tenant Fujitsu increased their occupancy by leasing an additional floor – then occupying five floors and securing naming rights on the building. The Ministry of Justice also extended their lease on four of their five and a half floors. As a result, the building remained 100 percent occupied.