Industrial Services

What we do

Leasing

Shalan Properties has a comprehensive stock of over 1000 industrial properties available to rent in the greater Gauteng area.

Properties range from mini units (100-1000m2) to the large industrial facilities of 10000m2 and greater. Shalan Properties will be able to provide the following service to our prospective tenant:

Depending on the nature of the enquiry we would first try to ascertain why the prospective tenant needs to re-locate as we would like to be part of the solution to the problem experienced by the business. With our market intelligence we can advise as to whether the business is paying market related rental for that type of premises in that particular area. If it is decided that it is necessary to re-locate the following steps are undertaken:

  1. Using the latest proptech supplied by Gmaven, we will be able to produce a long list of all the available options within the required area in a range of sizes and rentals for the prospective tenant to peruse and select a short list of properties for viewing. During this exercise we will arrange if necessary, a space assessment to determine the office space required as this is an important exercise to ensure that expensive unnecessary office space is not rented.
  1. Once a property has been selected, we will then draft an offer to lease and the prospective tenant will be requested to sign this offer based on the required terms and conditions and return to us together with all the required Fica information and supporting documents, to present to the landlord/owner of the property and negotiations will proceed, to ultimately arrive at a win-win situation.
  1. Once all the terms have been agreed upon the lease agreement will be drawn up for the prospective tenant to peruse and, if necessary, obtain advice from their attorney and we will also assist if we can.
  1. Once the lease agreement has been signed by both parties and the first month’s rental and deposit has been paid the tenant will be given occupation of the premises.

The tenant usually has 7 days to draw up a ‘snag list’ to list all the items and services that may not be operating correctly. This list is sent to the landlord for action.

Sale of Industrial Buildings

We at Shalan Properties are well equipped to partner the Seller in assisting in the marketing of the Seller’s property. The main challenge is to arrive at a fair price and to do this the Seller can obtain the professional services of a qualified Valuer and we can assist with that or we can provide a good ‘Indication of Value’ based on our market intelligence and using the latest proptech we would normally proceed in the following manner:

  1. We would meet with the Seller and undertake a thorough investigation of the property.
  1. We would then send the Seller an ‘Open Mandate To Sell’ or in some cases if the Seller prefers, a ‘Sole Mandate To Sell’ setting out the agreed price, time period of mandate, permission to erect a board, and commission tariff structure.
  1. The property is then marketed using all the tools at our disposal which would include:
  1. Listing on property portals and Shalan Properties website
  2. Network with other competent brokers
  3. Erecting marketing boards if approved by the Seller
  4. Presenting suitable offers to the Seller and assisting together with attorneys from both parties in negotiating an acceptable price for the property.
  5. Obtaining all the necessary Fica information from the prospective purchaser and the Seller and assisting the Conveyancer to register the property.

Once the property has been registered at the Deeds office and the funds are paid to the Conveyancer, the sale commission is paid by the Conveyancer.

Tenant Representation

In some cases  a tenant may prefer not to re-locate but are not sure or is not happy with the rental or other issue they may have with the landlord and Shalan Properties can assist in this regard by representing the tenant in engaging with the landlord to negotiate a more market related rental or obtaining a tenant installation allowance to re-furbish the tenant’s offices etc.

This is often a difficult balancing act as it can well be landlords that Shalan Properties has to try to retain a good relationship going forward but at the same time the tenant is actually our client in this case who will be paying an agreed fee for the service. Shalan Properties has a good relationship with the landlords built up over the 24 years that we have been in the business so we are confident that we can arrive at a win-win solution.

The services we can provide include the following:

  • Lease renewals
  • Space assessments if the tenant requires a re-design of offices
  • Market Intelligence – We provide monthly reports for various areas giving average asking rentals per category
  • Market trends

Landlord Representation

We at Shalan Properties are also able to help our major clients being Owners and Landlords the following services.

  • Provide advice on what rentals to pitch
  • Information required by the prospective user such as 3 phase power supply, TI allowance etc
  • Market trends
  • Where to invest in property for future development
  • What categories sizes are in demand in the area, either mini units, midi units or maxi units or combination thereof
  • Strategies that may help to retain their tenant.

New Developments

Shalan Properties has extensive experience in facilitating new developments over the past 24 years.

We would first undertake an extensive survey of the most suitable sites depending on the required location and do a due diligence to ascertain the following:

  • Sourcing suitable sites and investigating each one.
  • Is the site proclaimed and serviced and correctly zoned.
  • What are the conditions of establishment ito FAR, coverage, height restriction and whether there are any servitudes registered against the property.
  • Obtain SG diagram or general plan to correctly identify the property.
  • Negotiate with the owner ito of whether it is an outright sale or whether the owner prefers to develop for the prospective tenant for rental or a turnkey customized development which the user will own at some stage.
  • Obtain all necessary plans and assist in the space planning exercise to obtain an indicative design and rental or sale proposal from the developer.
  • Be the partner ensuring the user’s best interests in the design of the top structure, negotiating a development proposal and all the steps taken to eventually take occupation of the brand new development.
  • In some cases there may be a ‘request for proposal’ (RFP) in which case a detailed brief is drawn up and sent out to only a few approved developers to ensure a consistent ‘apples for apples’ quotation and Shalan Properties can assist in choosing reputable developers who will deliver quality, price competitive, developments.

Investments

Over the 24 years we have been in the business Shalan Properties has an extensive database of property stock and investors and is able to provide a source of suitable properties to investors and sellers who may be looking to unlock the value of their properties and will either look to lease back their properties (Sale and Leaseback) or investors looking to build a property portfolio.

 Sale and Leaseback

A sale and leaseback is an agreement where a seller leases back the property from the purchaser. In a leaseback arrangement, the details of the arrangement, such as the lease payments and lease duration, are made immediately after the sale of the asset. Essentially, the seller of the property becomes the lessee and the purchaser becomes the lessor.

How Leasebacks Work

Most often, a company needs capital to grow. Companies acquire capital by either debt or equity financing or both. Debt must be paid back and goes on the company balance sheet as a debt. Equity does not need to be paid back, but it comes at the cost of ownership. A leaseback allows this to happen.

Leaseback deals can also provide the seller with additional tax deductions. The lessor benefits in that it receives a guaranteed lease with stable payments for a specified period of time.

Shalan Properties would assist in ascertaining a market related lease rental for the type of property and the area it is located in and determine a sale price that provides an attractive yield for a prospective investor.

A sale agreement and lease agreement would then be drawn up and negotiated between the two parties.

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Industrial services
Commercial Services
We provide the following commercial property services: Leasing, Sale of commercial buildings, Tenant represenation, Landlord representation, New developments, InvestmentsRead more