Surplus Property Services

Name: Happy Cog
Price range: $

Surplus Property Services helps corporate real estate owners mitigate liabilities and create value by planning the reuse of former production facilities, infrastructure and surplus property.

Surplus Property Services (SPS) leverages a multi-faceted, market-based approach that mitigates risk and monetizes former production assets, infrastructure and surplus property—whether site-specific or across a portfolio of sites. In advance of divestment, or site closure, we characterize site data to identify value-add opportunities to structure divestment strategies that reduce transactional risk and site-related environmental risk. Simply put, we glean value across the ‘lifecycle’ spectrum of corporate-owned real estate—which is the differentiator of Surplus Property Services.

What is Surplus Property?

Most major corporations own and manage real estate portfolios containing operating and non-operating assets. Many of these portfolios also hold underutilized industrial facilities that are idle and deemed surplus, are scheduled for retirement or have been decommissioned after years of production. Land undergoing, or having completed, environmental cleanup is also deemed surplus property.

By The Numbers

+10,000

sites analyzed globally; more than 3,000 sites characterized since 2010

+7,700acs

studied globally, including more than six miles of waterfront property since 2015

20%-30%

reduction in environmental costs when remedial design includes reuse

Our Expertise

As principals and advisors to major corporations, we witnessed environmental remedial designs, and archaic corporate policies render valuable assets into worthless real estate. Among Fortune 100 companies, we saw first-hand the need to create and implement a process that mitigated risk and monetize corporate real estate portfolios that collectively held more than 20,000 sites valued at more than $2.1 billion. In 2010, the first portfolios were triaged using an approach that would become known as Surplus Property Services. Since, we have analyzed dozens of real estate portfolios containing more than 10,000 sites totaling more than 7,700acs on behalf of multi-national conglomerates and private equity fund managers. These examples demonstrate a fraction of our capabilities. Not only do we mitigate risk—we transform liabilities into value.

Industries

Heavy Industries

Oil & Gas

Chemical & Pharmaceutical

Power & Utilities

Rail

Multi-National Conglomerates

Our Capabilities

Unlock the full potential of your surplus property and infrastructure with our comprehensive solutions:

Portfolio Optimization & Risk Mitigation: After years of production, many heavy industrial facilities and infrastructure are merely retired and positioned to undergo years of environmental remediation. Our team implements innovative strategies for repurposing heavy industrial properties, like integrating redevelopment elements into environmental remediation designs. This approach can lead to a 20%-30% reduction in environmental remediation costs, enhancing both sustainability and profitability.
Site Opportunity Analysis: As part of the Portfolio Optimization process, we identify liabilities and underutilized and surplus properties ideal for reuse – which are studied with our Site Opportunity Analysis, or SOA, a proprietary assessment that develops tailored reuse strategies that mitigate risk and maximize financial returns. Our expertise extends from Portfolio Optimization to navigating mergers and acquisitions (M&A), ensuring seamless integration of real estate assets.
Repurposing & Monetizing Infrastructure: In recent years, heavy industrial infrastructure is being repurposed in direct response to the AI/data center boom. Long standing idle plants as well as non-economical operating facilities with on-site generation infrastructure are now being redeveloped. We maintain years of expert planning and repurposing strategies for this infrastructure type, ensuring alignment with your corporate sustainability goals and overall business objectives.
M&A Property Due Diligence: Providing risk mitigation due diligence on environmentally-impaired properties during the M&A process gives buyers a better understanding of site conditions, post-closing risks, and opportunities to reduce expenses by implementing divestment strategies for redundant and surplus property. In a recent case study, the team triaged a portfolio of over 100 surplus sites and identified 10 sites that were studied with SOAs. The results yielded a $45M uplift in portfolio value.