Case Studies

The Situation
Built in 1983, the 450 Regency Building was the home to IBM and, later, Bank of the West. With over 94,000 gross rentable square feet, the building remained vacant for three years before it was purchased in 2008 by a locally owned partnership and transformed into an environmentally friendly multi-tenant building.

Our Impact
The Lund Company partnered with the owners of the 450 Regency Building to completely renovate the building and its overall energy efficiency. A new HVAC and mechanical system was installed along with state-of-the-art energy efficient windows. From an aesthetics perspective, the interior boasts an open glass concept complete with a 40-foot waterfall. The total cost of redeveloping the property was $10 million.

The Outcome
The 450 Building was already 50% leased before the redevelopment was complete. Today it is 100% leased and is home to nine tenants including The Lund Company Corporate offices. In 2012, The Lund Company received the “Development of the Year” award from the Commercial Real Estate Workshop for its work on the 450 Building.

Highlights
Project Size: 94,000 SF
Project Cost: $14,000,000
Type of Deal/Structure: Speculative Redevelopment Project
The Lund Company Role: Equity Developer / Managing General Partner

The Situation
Constructed in 1970, Securities America, Inc.’s (SAI) building was inefficient and limited the Company’s ability to change with its business needs. The building had little natural light and was not energy sufficient.

Our Impact
SAI selected The Lund Company as the developer for constructing a building that would help SAI meet the demands of business growth while increasing overall efficiencies.

The Situation
Since the lack of natural daylight was a concern to SAI, the new building moved offices along the core and away from the windows while a three-story atrium also allows light in to the center of the building. Special attention to common areas, break rooms and work spaces were designed with efficiency and aesthetics. The building also includes a data center with back-up generator and strategically located cabling chases to meet the Company’s ever-changing needs.

Highlights
Project Size: 88,000 SF
Project Cost: $14,500,000
Type of Deal/Structure: Build-to-Suit
The Lund Company Role: Equity Developer / Managing General Partner

The Situation
Coventry Healthcare of NE (Coventry) had two locations in Omaha and wanted to consolidate all of its employees under one roof. They engaged The Lund Company in a brokerage capacity to find them a new location. Objectives for the assignment were:
Find a location that was close to the majority of their employees’ residences
Provide amenities that current locations could not afford – proximity to restaurants, shopping, etc.

Improve the overall quality of the work environment – individual spaces and meeting spaces needed more flexibility and better technology support. In addition, the organization needed a consolidated data center on site.
Enhance brand awareness in the community via better visibility.

Our Impact
As their Tenant Representative, we evaluated every potential option for relocation – from existing buildings, retrofits to new construction. Ultimately, our market survey helped them decide that new construction was the best option for their needs. As a result of the trusting relationship we had built during the process and our experience in office buildings, the client asked us to design, construct and ultimately own and manage, a new headquarters located on West Dodge Road.

The Outcome
The 92,000 square foot office building was completed in December of 2008 and the prominent location on West Dodge provides a wonderful presence for the company. Employees have access to natural light via efficient floor plates that allow for a more flexible design. Conference rooms are functional, technologically advanced and attractive. Best of all, the location is closer and easier to get to than previous location for the vast majority of the employees.

Highlights
Project Size: 92,000 SF
Project Cost: $18,200,000
Type of Deal/Structure: Build-to-Suit
The Lund Company Role: Equity Developer / Managing General Partner

The Situation
PayPal was experiencing explosive growth. Headquartered in Pal Alto, CA, the organization had targeted Omaha as the natural place to have the majority of its operations. The PayPal executive team engaged The Lund Company in a brokerage capacity, to find them a new location.

Our Impact
First and foremost, our recommendation to find the right solution versus the quickest solution allowed us to find some temporary lease space to accommodate the short-term growth. After evaluating every possible existing option in town, the decision was made to find a location to build a regional facility. Because of the relationship we had established, PayPal asked us to be their developer. The Lund Company recommended a location in an area suburb, La Vista, because of our belief that the area had tremendous development potential, lots of available land and aggressive community incentives. The resulting office building initiated development of a 200,000 square foot office park, several restaurants, a Cabela’s store and a hotel and convention center.

The Outcome
In the end, the 112,000 square foot single-story facility was designed and constructed in only 12 months! In addition to speed, the project accomplished every one of PayPal’s goals:

• Flexibility for Change – Utilizing a raised floor system, the building accommodates the incredible technology changes required for a cutting-edge technology company. In addition, the flexibility in the design was able to accommodate nearly 200% annual growth over the first five years of occupancy.
• Energetic Culture – PayPal had a strong desire to utilize its facilities as an attraction and retention tool for employees. The building was designed to provide every employee with views to natural daylight. In addition, amenities such as a state of the art conference/training center, a cafeteria with outdoor grills for employee use, a workout facility and stress relieve areas such as an outdoor basketball court and an indoor arcade insure that PayPal’s employees are happy and engaged.

The result for PayPal was an operations center that supported their explosive growth so successfully that when eBay purchased the company they decided to have The Lund Company build a second building on an adjacent piece of ground.

PayPal I Highlights
Project Size: 115,200 SF
Project Cost: $12,700,000
Type of Deal/Structure: Build-to-Suit
The Lund Company Role: Fee Developer

PayPal II Highlights
Project Size: 127,000 SF
Project Cost: $21,000,000
Type of Deal/Structure: Build-to-Suit
The Lund Company Role: Fee Developer

The Situation
When Regency Court was built in the late 1970s, it stood as one of Omaha’s landmark retail centers primarily occupied by local tenants.

Our Impact
Through the years, The Lund Company had successfully guided the mall through numerous renovations and attracting one-of-a-kind tenants, boasting Omaha’s only Anthropologie, Williams-Sonoma, Borsheims and Pottery Barn, among others.

• The Lund Company provided property management, financial reporting and marketing and leasing services
• Successful event coordination for more than thousands of attendees
• Property security
• Strong coordination between management and marketing functions

The Outcome
The center has dozens of one-of-a-kind retailers and restaurants and hosts several key community-wide events held each year. The coordination between marketing and management was essential to the success of this property – a concept that The Lund Company is intimately familiar with and would adhere to the marketing and management services of your portfolio.

Highlights
Project Size: 235,000 SF
Project Cost: $17,000,000
Type of Deal/Structure: Investment / Redevelopment
The Lund Company Role: Equity Developer / Managing General Partner

The Situation
A local developer speculated a 60,000 SF office building in a down market.  11600 Centre Place came on line without any pre-lease commitment.

Our Impact
The Lund Company was engaged to develop and implement a comprehensive marketing plan to stabilize the asset after construction completion.  That plan included targeted networking with office tenant representative broker specialists, a special newspaper advertisement campaign and cold call campaign which focused primarily on tenant prospects whose lease agreements were expiring in the near term.  In addition, because of the building’s location proximity to Interstate 680, the cold call also focused on tenant prospects who currently had or were planning to have office locations in both Omaha and Lincoln, Nebraska.

As a result of the implementation of the The Lund Company marketing plan, 11600 Centre Place became “top of mind” relative to office tenant brokers, tenant prospects and the public at large.

The Outcome
11600 Centre Place today enjoys not only 100% occupancy but rental performance exceeding current market conditions.

Highlights
Project Size: 67,300 SF
Project Cost: $8,700,000
Type of Deal/Structure: Speculative Office Building
The Lund Company Role: Equity Developer / Managing General Partner