Rental Market Insight Leads to Value Creation
A Strategic Partnership to Identify and Achieve Cost Savings

Situation

Our client was in need of a facilities management company that would act as a strategic partner not only delivering an excellent service but also identifying and achieving cost savings, efficiencies and improvements.

The new owner of a three-storey apartment building in the South Granville in Vancouver contract with Martello to help turn the building around. The building was plagued with rental rates 30% below market, in addition to high operating costs and vacancy. The owner needed a management company with a demonstrated history of identifying and achieving cost savings, efficiencies and improvements to buildings, and Martello fit this need.

Solution

Martello immediately went to work researching the geographical area for comparable properties to determine market rents and their conditions. This involved comparing online listings and industry data for properties that are from the same era and have the same amenities and finishings. These findings allowed better understanding of how much revenue our client was missing out on.

Upon completing the research, we recommended our client apply to the Residential Tenancy Branch for an extraordinary rent increase. We put together a thorough research package, consisting of over 300 pages of evidence, and presented it to the Residential Tenancy Branch on their behalf. After going through an appeal process and submitting the fact based the arbitrators agreed the building was due for a rental increase and approved the owner's case.

Conclusion

The strongly argued cased enabled our client to secure a positive result from Residential Tenancy Branch and were awarded a rent increase of 20%. Combined with cost savings delivered through contract renegotiation and bulk purchasing, Martello was able to deliver substantial value to our client.