A Case Study: The Repositioning of 1999

 

 

SHIFT PERCEPTION

  • Reoriented lobby: changed primary entrance from Broadway to 19th St. - took a step toward 17th and California “City Center”.
  • Exploited 20’ full height window line, removed deli from 19th St. entrance, embraced urbanity of light rail line outside our door, brought outside vitality inside, bringing the lobby and thus the building to life
  • Eliminated “Broadway” from building title and promoted building moniker as simply “1999”.
  • CREATE SELF-CONTAINED LOCATION:

  • Bundled amenities so tenants perceived they never needed to leave the building:
    consolidated deli, ATM, dry cleaner drop off and created new health club facility and 75 person conference facility on mezzanine level
  • STOP APOLOGIZING FOR LOCATION,
    SELL BENEFITS OF “SETBACK”:

  • Better views than more “central” assets in every direction
  • Better egress/access than “central” competition
  • Introduced circulator shuttle: you can walk…but at 1999 you can ride (…while the property and its first class tenant amenity shuttle are advertised with every loop around the CBD)
  • Leveraged location of (i) new residential high rise development next door and (ii) 1999 as only CBD building with dual direction light rail stops outside its door - location is “cutting edge” not “on the edge”
  • OVERCOME OBJECTIONS

  • Use shuttle as constant loop parking circulator for tenants during peak hours, 7-9 am and 4-6 pm
  • Created valet parking stand - addressed garage location concern while introducing executive benefit no other building in CBD offered
  • Sell positive parking attributes:
    • 1/960 ratio, best in CBD
    • Lowered rates below “central” competitive properties: lower rates reduced resistance but increased space consumption and total parking revenue
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