Key challenges: Customer levied for installed services that were not required, which were then included in ongoing tariff structures.
In summary:
The owners have been constructing significant fulfilment and distribution facilities for several years to support storage and distribution requirements.
Summary of the situation from a consultancy perspective:
During planning and development phases leading to occupation the site and then the property have been sold by initial owners to new owners who signed a 20-year lease. The payment for infrastructure charges were in this instance borne by the owner.
The solution mix and timescales:
Activity Duration
- Desktop analysis of project files from construction phase 4 weeks
- Site visit for measures and analysis 1 week
- Associated geographical and geospatial analysis 3 weeks
- Infrastructure provider contact 7 weeks
- Final report and sign off with customer 2 weeks
The outcomes for the client
- A refund of £256,000 on infrastructure charges to the initial owner.
- A refund of £1,230,000 to the leaser for over charges of infrastructure that was not utilised.
- An annual reduction of £34,000 infrastructure charges to the leasee.