In 2011, Real Networks engaged Kidder Mathews to assist in developing a real estate strategy that mirrored its revised business plan and reflected the shift in culture that had taken place at the company since facilities were originally secured on the Seattle waterfront in 1997. Real Networks still had a long-term lease in place and was not fully utilizing the 265,000 sq ft initially leased to house its workforce. The company faced multiple challenges: rental rates in the Seattle market were beginning to increase; there were several years remaining on the existing lease obligation; and the existing configuration consisted of many private offices which did not promote collaboration amongst employees.
Real Networks
Real Networks creates products and services that make it easier for people to access and enjoy digital media on the devices and platforms they choose to use.
Challenge
Approach
Kidder Mathews worked with Real Networks to locate and negotiate a lease for a new location where the company could build an office environment in support of its culture and business plan moving forward. During the search and negotiations for that new location, Kidder Mathews was able to secure three separate subtenants in Real Network’s existing building which helped offset the lease cost on the surplus space.
Results
Ultimately, Kidder Mathews negotiated an early lease termination from Real Network’s existing building that resulted in a seven figure savings to the client, as well as advancing the client’s goals of elevated collaboration and decreased occupancy cost.