Digital Equipment Corporation
60,000 square feet
- Due Diligence Reports
- Site Search Management
- Program Management
- Move Planning
The acquisition of a competitor’s computer business by Digital Equipment Corporation resulted in a due diligence and portfolio restructuring assignment which necessitated the leasing of new space and relocation of the operations of the Thai subsidiary. The acquisition agreement mandated that all actions be complete within 6 months of the closing date. Actions:
Working closely with the acquisition due diligence team, the existing portfolio information was assembled, modeled and analyzed. Because no property was being transferred with the business, the occupancy-cost impact on the subsidiary’s profit margin was significant. Measures to mitigate that impact were developed and the post-merger real estate actions were formulated.
The principle action in the plan was to relocate to an ex-urban location. After evaluating several locations, a site south of the city was leased, and an aggressive fit-up program was initiated. A turnkey design-build approach was adopted and several multi-national building partnerships were interviewed. Extreme importance was placed on the skills and capacity of the building contractors. Those capabilities were critical to meet the objectives of a fast-track program operating in Bangkok’s complex building environment.
The chosen team established a prominent on-site presence and strict controls were put in place to manage their actions and Digital’s decision making process. A comprehensive measurement procedure was instituted to assure performance progressed to plan. The fit-up and move-in were completed successfully.
The newly acquired business units were successfully relocated and integrated into Digital’s operations. The existing properties were vacated by the required dates.