Dependent on client requirement, the role of the Consultancy team can comprise one or a combination of any of the above and in many cases evolves organically from initial instruction.
The primary ethos of the Consultancy team is the use of sound research and extensive experience to create maximum value for clients.
Through utilising our skills and experience, Bannon Consultancy have carried out instructions for a vast variety of client types such as private equity firms, pension funds, multinational corporations, developers, retailers, private individuals, State bodies and Local Authorities.
“Research is to see what everybody else has seen, and think what nobody has thought.” (Dr. Albert Szent-Gyorgyi)
Every Bannon Consultancy instruction is built on a solid foundation of research. Accurate and concise data allows for reasoned and validated decision making.
To this end, Bannon’s research department collates and analyses relevant metrics from both internal and external sources on an ongoing basis. Demographic data in particular has been databased in such a way that specific catchment analyses can be undertaken for each property as required.
Our dedicated Research team go beyond the typical real estate approach to research by seeking juxtapositions between economic performance and real estate, socio economic/demographic trends and development. At a more asset specific level, utilising our bespoke in-house PRO system, asset performance is benchmarked and analysed using a number of criteria. This allows us to identify trends and insights and formulate plans accordingly.
Outputs from our consultancy instructions are analysed which in turn feed back into subsequent research. At Bannon, research and consultancy are symbiotic.
This relationship has led to the creation of a bespoke database of over 220 shopping centres and retail parks in Ireland, with the added advantage of Bannon having an active involvement, either as letting or managing agent in over 50 of these schemes.
2. Acquisition/Disposal Strategy
One of the primary benefits of robust research is it allows the Consultancy team better understand not only the market as a whole, but also how the market relates to different businesses. This is encapsulated in our role in creating bespoke acquisition or disposal strategies for clients.
Our bespoke Business Plan provides a holistic approach to acquisition and disposal strategies, and rather than focusing purely on the physical assets, we ensure that the strategy for the sale, purchase or leasing of assets also fits with the business as whole.
Our business plans focus on aspects such as:
Impact on covenant strength
Representation in the locality
Demographic trends and emerging markets
Options for development or amalgamation
3. Asset Repositioning & Enhancement
Key to maximising the value potential of an asset is to ensure that it captures the appropriate market.
One of the most progressive services that Bannon offers is our retail scheme positioning and asset enhancement service which is undertaken alongside our asset management service. The concept behind this service is to position the retail asset to target the market it is best suited for and to ensure that the customer experience is of a good quality. Our approach includes;
A bespoke catchment analysis for the retail asset, our skill is identifying where the true physical and demographical boundaries of the catchment area are, not just where drive times extend to.
Determining the demographics within the true catchment and assessing how the scheme’s tenant mix relates to the demographic.
Meeting with each store manager to understand their customer, business model, trading performance and potential and operational experience.
Reviewing the customer experience to establish what attracts / detracts customers from visiting the asset. This includes customer survey’s, review of wayfinding signage, ease of access / egress amongst others , review of appearance and ambience
Assessing the turnover level which is currently being captured. This will provide an indication as to the potential spend available and the towns within which this spend is concentrated. It will also assist in determining the sustainable rent of the scheme.
This information is analysed to provide a business plan for the retail asset which includes recommendations for short and long term objectives and goals.
4. Asset Management
Asset management covers a myriad of disciplines and is dependent on individual client needs. At the outset of all instructions an asset management goal is established and agreed with the client. This goal is derived from research carried out by the team, identifying potential areas where value can be added. This forms the roadmap for all decisions for the property.
Some of the more common tasks that Bannon encounter whilst managing their asset management portfolio are;
Reviewing and establishing tenant mix strategies
Restructuring leases to increase term certain, removing break options
Identifying a strategy for dealing with defaulting Tenants
Overseeing new lettings, lease renewals, rent reviews and other Tenant negotiations
Creating evidence through lettings that will be utilised for rent reviews across balance of asset
Identifying development/refurbishment opportunities to create value
Ensuring a Landlord focused leasing strategy so that development potential can be unlocked at a point in the future
Monitoring planning applications and development pipelines to ensure asset value is protected.
Key performance indicators are analysed monthly to assess the performance of the asset, these tools can be used by the client to make key decisions on the asset going forward. Bannon’s ultimate goal is to increase the profitable sales generated in a retail asset thereby increasing the sustainability of the rent roll and ERV levels which in turn enhance value.
Our attention to detail and our client focus is at the core of our asset management service.
5. Design/ Development Consultancy
For over a decade Bannon Consultancy have provided design consultancy on many of the premier retail, office and mixed use destinations in the country including Dundrum Town Centre, Pavilions Shopping Centre, ESB Headquarters in Dublin 2 and Dublin Airport Central offices, with a focus on bringing a commercial reality from the design stage right through to leasing/sale of the completed development.
Our approach focuses on ensuring that not only will there be occupier appetite for the product being developed, but also that operational efficiencies are maximised over the life of the development.
Our approach includes:
Real Time Market Information gained through day-to-day interaction with occupiers, financiers and investors. Our key skill is the ability to distil this market knowledge into useful information for use in the design process. We also assess a site’s potential in relation to market demand.
Design Team Workshops with the client’s design team to create a development model that will meet commercial requirements and operate as efficiently as possible.
Ongoing Profitability Assessment using specialist development software throughout the design process.
We bridge the gap between the market and the project design to ensure that the final design proposal will satisfy active market requirements. The result is a planning proposal reflecting anticipated and known market demand. We add a commercial focus to the design process, guiding the design team to achieve an acceptable planning solution that is also commercially viable.
This approach assists the sourcing of development finance by demonstrating a clear path to success.
6. Viability Assessment
Quite often this service forms part of our design consultancy service however; we also provide viability assessments for schemes which may have already have advanced through the initial design phase, or be prior to site acquisition.
As part of this service our core focus is placed on ensuring commercial viability of a potential development. In assessing viability our approach includes;
Initial assessment of optimum use
Working with architects to establish quantum, basic scheme orientation and floorplates
Robust development appraisal
Scenario testing and sensitivity analysis
The service we provide can ensure that a clear road map is established at the very beginning of a development project, with key benchmarks provided at each stage.
7. Consultancy Reports
Our Consultancy team also provide supportive research documents for a wide variety of client types ranging from financial institutions to State Agencies. This service calls upon the skills and data amassed by the team to provide real estate insight into a particular project. Examples of the reports we have undertaken include;
Town/City Centre Retail Health Assessments
Long term land use strategy
Identifying development opportunities
Urban Retail Planning
Our goal is to ensure clients are empowered with all the information to make informed strategic decisions.
Why Bannon Consultancy?
Our extensive property experience, market knowledge and practical problem solving solutions allow us to offer a complete professional real estate service to all our clients.
Bannon Consultancy have carried out instructions for a vast variety of client types such as private equity firms, pension funds, multinational corporations, developers, retailers, private individuals, State bodies and Local Authorities. Each of these clients have benefitted from the unique service the Consultancy Team offer.