The Initial Problem: Tenant Retention in an Office Complex
A large commercial office complex, managed by the Operations Director, had been facing tenant turnover at an alarming rate. Despite their best efforts, the Leasing and Operations teams couldn’t seem to retain high-value tenants, even though they offered discounts on leases. Operational costs were also rising, further complicating profitability.
Brainstorming sessions among the Leasing, Operations, and Finance departments led to short-term fixes, such as adjusting rent levels and offering incentives. However, these measures only provided temporary relief, and the core problem persisted. High-value tenants continued to leave, and new tenants showed minimal engagement.
Applying Stage 2-7 Problem Analysis: Going Beneath the Surface
The ICMG Stage 2-7 Problem Analysis framework was introduced to dig deeper and uncover the root causes behind the tenant churn and rising operational costs. Here’s what we discovered through each stage of the analysis.