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Redline Communications

A leading manufacturer of rugged broadband wireless products, Redline Communications is known as an industry innovator for developing  Virtual Fiber™, a technology that delivers high speed and real-time connectivity that supports machine-to-machine (M2M) communications and distributed applications.

Since 1999, Redline’s innovative Virtual Fiber™ technology has been used by a diverse collection of industries, including oil and gas, military, government and telecom service providers.

The Challenge

Redline occupied the first and third floor of the building it leased from its current landlord. As operations grew, the premises were becoming increasingly inefficient, which resulted in declining productivity. Redline needed to reconfigure its existing space to better align its business units and improve operational efficiencies.

Redline had two years remaining on its lease—a term that often precludes tenants from creating meaningful leverage using market alternatives. To add to the challenge, Redline required that the task be accomplished without interruption to its business operations.

Savills Response

Savills engaged its FLOW™ process, conducting an extensive review of market nodes throughout the Greater Toronto Area. This strategy delivered viable relocation alternatives for Redline’s current operations that gave the company tangible leverage during negotiations with its current landlord.

Savills proven process uncovered an ideal alternative on the fourth floor of Redline’s current building, which provided a win-win opportunity both for tenant and landlord and the least amount of disruption to business during renovation and move-in phases.

With credible relocation alternatives providing tangible leverage, Savills unleashed their Harvard-trained negotiations skills at the table with Redline’s existing landlord, convincing them that offering Redline an additional floor was better than losing its tenancy altogether.

The Solution

With its operations now configured in a manner more condusive to its day-to-day activities, Redline has realized its vision of a more collaborative and productive environment. Savills delivered terms that not only extended Redline’s lease to seven years at current rental rates, but provided the company a generous allowance for improvements, making it possible to totally renovate the fourth floor with minimal disruption.

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Key contacts

Stan Krawitz

Stan Krawitz

Vice Chairman – Founder, Head of Canada

Savills Toronto

+1 416 480 0745 Ext. 3030

 

Ken Norris

Ken Norris

Senior Vice President, Branch Manager – Ontario Office

Savills Toronto

+1 416 480 0745 Ext. 3047