May 21, 2020
We're With You: Three steps to manage your facility/commercial real estate during the crisis
Real Estate costs are the second or third largest line item for most companies.Things to consider:
First, talk to your insurance provider to see what coverage you have. Business interruption insurance might be a possibility if you have it. We asked commercial insurance folks if it would cover the current situation, and the answer is, it depends. Some policies clearly exclude pandemics, others don't.
Second, call your property manager/building owner and tell them what position you are in. Communication is key. You aren't the only one. The property managers we have discussed this with are busy fielding these exact issues and concerns. Let them know your needs and your specific request. Some owners are being flexible, some aren’t, and many in between. They need details to figure out how to best work with you.
Third, look into SBA disaster recovery loans, open to companies with fewer than 500 employees.
Finally, if changes in your business aren’t temporary, and you need to reduce your real estate footprint, here are a few options:
Remember to communicate. We're happy to discuss these and see how we can help.