Effective management key to keeping credit tenants.

Building management and maintenance has become a crucial issue for landlords as tenants' needs become more sophisticated. In today's high-tech business world, tenants are demanding more in the way of efficient building systems, as well as greater bandwidth to accommodate high-speed Internet access.

In response, many landlords of older buildings have launched major improvement campaigns in order to attract credit-worthy tenants and capitalize on the inflated rents that have been created by the tight space market.

For example, the Gothic-style landmark buildings at 111 and 115 Broadway have undergone a sweeping period restoration and modernization program in an effort to create two state-of-the-art office buildings that are capable of handling the most complex technology needs. Newmark took over the management and leasing of these properties at the depths of the real estate slump, when the buildings were virtually empty and in need of major upgrades. After a multi-million dollar improvement campaign, the properties are now virtually 100 percent leased to an impressive and steady tenant roster including some of the most cutting-edge technology companies in Manhattan, such as MicroModeling, Inc. and Transaction Information Systems.

As a result of the improvements made at 111 and 115 Broadway, we have been able to attract quality tenants and achieve rents in the $27 to $30 per square foot range, as well as realize significant savings in operating costs.

Another important topic on the minds of tenants, landlords and property managers today is safety and security. Accordingly, property owners and managers are increasingly tapping an array of new technologies designed to provide greater protection, as well as quickly identify intruders. There's little doubt that technological advances in security monitoring systems make it increasingly difficult for criminals to operate undetected. For example, early last year, a suspicious fire broke out at 115 Broadway, an office property monitored by Excel Security. A response team assembled by Excel provided authorities with tapes from the building's video monitoring systems providing clear color visuals identifying the arsonist.

We've actually had success apprehending criminals in every single building where we've installed such high-tech monitoring systems. Security is of paramount importance to our tenants, and these systems provide a level of security not possible in years past, and at significantly decreased costs than in recent years. Additionally, owners are pleased with these systems because they experience a tremendous return on their investment, while making their buildings more attractive to prospective tenants.

An effective security program maintains tenant goodwill more than any other building service. Natural surveillance, access controls, technology and guard supervision can be seamlessly and cost-effectively integrated, providing a strong security presence functioning in tandem with building procedures, security officers and staff.