Recently we have seen a trend of different call center types in different parts of North America negotiating lease terms one and a half to two years out from the end of their existing lease term.

To accomplish this we have been working with local, county and state economic development groups, and existing landlords by focusing on the financial benefits the area will retain by keeping these large numbers of employees (and their corresponding salaries –thus economic impact) from moving to a different city.

Not surprisingly, by showing the existing city the salaries generated over the term of a new lease vs. the cost of the lease itself, we have received extraordinary financial assistance to offset the remaining cost of the existing lease term from both the EDC’s and landlords.

 In short, the salary impact compared to the real estate cost averages 8-1.

This negotiation strategy has assisted us in doing many call center transactions sooner rather than later and given us a head start against our competition.

-Van Power, SIOR

Based in Dallas, TX, Van Power is Chief Operating Officer of NAI Contact Center/Site Selection Services.