Challenge
Children’s Therapy of Woodinville (CTOW) occupied the same space for over 30 years and has become a staple in the Woodinville community. Doreen Hunt and Katie Clutter purchased the business in 2018 and discovered shortly after that their building was going to be redeveloped. Although they had operated successfully for several years in their current space, the new owners embraced this as an opportunity to grow their business. Their challenge, however, was that their business’ revenue is determined by the number of practitioners that can employ, meaning that their path to financial growth meant taking on significant new overhead, which was a concern for the new owners. Additionally, in a small market like Woodinville where there was no availability on the market, location matters and is inherently built into their branding.
Action
After being notified that Doreen and Katie would need to relocate, they were introduced to Aaron Kraft by a trusted friend. During their initial consultation, he evaluated their current space needs and made sure he understood the business they were operating. With his understanding of how the real estate needed to fit within the operations of their business, he was able to reach out to owners that were not actively marketing space to explore options to purchase and to lease. He delivered multiple owner/user properties that would allow CTOW to take advantage of the benefits of real estate ownership, as well as lease opportunities that would minimize build out costs. He was able to uncover several spaces that other brokers they had spoken with were unable to find.
Result
CTOW expanded increased footprint by 118% from 6,305 SF to 13,767 SF
Lowered price/SF by 4% by relocating out of functionally obsolete building
Negotiated a rate that is 21% below competing buildings in the market
Expanded space for practitioners by 140%
Secured space with ample parking and outdoor space for specific use