1. What is Build-to-suit?
Build-to-suit (BTS) is the procurement of a specific building to meet a company’s exact requirements, which are typically unique to corporate as well as specificuse requirements. A BTS building stands in contrast to a “speculative-build” units, which developers build without a specific tenant in mind, but speculating that the unit will be suitable enough with modest retrofitting.
2. What are the benefits of Build-to-suit?
BTS serves customers with specific and often nonstandard operational requirements, such as building size & height, larger office fitout, or internal cranage or machinery. BTS helps “future-proof” building designs by enhancing the building’s utility - and therefore its value - as the business scales and its requirements evolve.
3. What kind of business benefits the most from Build-to-suit?
Businesses who find the traditional speculative-build units available in today’s market too generic, and unable to meet their operational needs, derive maximum benefit from the BTS option. For example, companies who require more office space, nonstandard loading door configurations, and specific manufacturing or assembly processes incur higher costs fitting these nonstandard requirements to a conventional speculative-build unit. By working with a developer from the start, however, an occupant can commission a building to their exact use. Build-to-suit is also suitable for customers who have fixed budgets, where a specification can be structured around a fixed price.
4. Is Build-to-suit more expensive than speculative-build units?
There is a common misconception that BTS comes with a financial premium and longer delivery times. In the case of South Gate Industrial Park, Radius Group has already permitted a masterplanned environment, and land plots come with full utility hookups and are ready-to-build. Moreover, our team’s wealth of design and construction experience ensures efficient and accurate definition of customers’ needs into an effective building design and final construction process with strict cost controls.
5. What is Radius Group’s Build-to-suit proposition?
We offer customers "Build-to-suit" units on fully-serviced development plots at our South Gate Industrial Park. Planning permission is already granted for industrial and warehouse use, and we work efficiently with our customers to design their new facility so as to meet their exacting requirements. We also can deliver Build-to-suit units with time and budget guarantees, while achieving the highest international quality standards.
6. What are "tailored" risk-management and financing solutions?
We provide flexible risk-management and financing solutions, including delivery time and budget guarantees, in order to help customers manage risks and costs. Buildings are offered on freehold or leasehold terms, or on a lease with an option to purchase. Furthermore, with on-site ground works already undertaken, Radius Group offers one of the quickest delivery programs for a Build-to-suit unit in the Russian market.
7. How quickly can premises be made available?
Radius Group is unique in the Russian market in our ability to offer fully-serviced development sites at South Gate Industrial Park’s master-planned environment. Permits and agreements with all proper local authorities have been executed to enable buildings to be delivered exceptionally quickly. Our lead times depend primarily on the degree of customization the customer requires. Once we have finalized terms at a price suitable to the customer's budget and agreed upon a delivery date, we've demonstrated time and time again that we meet our promises.
8. With a limited budget, how do we add space to grow our business?
A major benefit of Build-to-suit is that the building can be value-engineered to ensure all the components of the proposed design are essential to the occupier, to ensure that absolute value for money is achieved. Radius Group’s in-house design and construction team has a wealth of experience working in Russia and the CIS, as well as the UK and the US - we lead design and construction from start to finish. And at the beginning, we collaborate closely with the customer to fully understand their needs, and then to generate novel ideas and approaches that help drive costs down, while meeting the overall objectives.
9. Our business has a complex fit-out process - will this delay completion?
As the building is being delivered on a bespoke basis, we can be very flexible in terms of preparing for and starting the fit-out process. When customers have a complex plant, unique fit-out, or accelerated timing milestones prior to building occupation, we work with them to achieve the earliest possible access date - fit-out processes can run in parallel with the completion of the building.
10. What kind of sustainability practices does Radius Group engage in?
Environmental stewardship and sustainable development are key objectives of Radius Group, and we are committed to developing Russia’s greenest business space at South Gate. All buildings achieve a high BREEAM certification, the European-based and internationally recognized sustainability standard (similar to LEED in the US). Moreover, South Gate’s close proximity on the side of the M4 highway minimizes driving distance to the major roadway, and contributes positively to lowering our customers’ overall carbon emissions.
11. To what extent can green & sustainability requirements be customized?
In addition, the BTS process involves the option to further enhance an individual building’s “green credentials.” Radius Group will work with a customer to explore the various sustainability options to meet any customer requirement While each customer may set the environmental standards of their own building, all units are built to address the major sustainability issues that arise when constructing a new building using the following nine key categories:
- Health & well-being
- Land use & ecology
The assessment of the project against these categories enables the customer, through the BREEAM Assessor and Certification process, to measure, evaluate and reflect the performance of their new building against their internal best practice in an independent and robust manner.
12. Outside of BTS, are existing premises for lease?
Radius Group are extremely flexible in their approach at South Gate, and BREEAM standard units are available on leasehold terms to suit our customers.
13. Whom do I contact?
Please contact our Custom Solutions Department; tel +7 495 662 5550 to discuss your requirements, they will be happy to discuss the options available, timing and indicative costs. You may also contact our primary real estate brokers: JLL, Knight Frank, Cushman, and CBRE.