Vestian secures new 19,500 s/f sublease for Raleigh-based online publisher LuLu Press

Raleigh, NC Vestian, a global commercial real estate firm, has negotiated a new long-term sublease for online self-publisher Lulu Press.

The new sublease agreement, which upgrades the company from a class B to a class A building, and saves the company 37% per year on its real estate costs.

LuLu will be moving to the Frontier Campus in RTP at 700 Park Offices Dr., a class A office building with amenities, taking 19,500 s/f of the building’s second floor for its 75 employees. The annual total occupancy expense for the new space is $350,000 or $17.95 per s/f. There are no escalations for the six-year sublease.nthi

LuLu presently occupies 21,000 s/f at 627 Davis Dr., a class B flex building with no amenities where annual total occupancy expense is approximately $504,000 or $24 per rentable s/f.

“LuLu’s new office space comes complete with brand new furniture and installations from the previous tenant, avoiding any capital expense for Lulu. The space is also an upgrade to a new modern office that offers safety, social distancing and workforce flexibility,” said Vestian’s executive managing director Brad Armstrong, who negotiated the sublease on behalf of Lulu.

“As the commercial real estate market continues to evolve, we have found that successful companies are challenging the norm and exiting their current space,” said Armstrong. “Rethinking, reshaping and restructuring their real estate needs will lead to a more productive and economically viable business.”

“Vestian worked to reduce our footprint and costs, while helping us identify and outfit a new office that will foster a safe and healthy environment,” said Kathy Hensgen, president of Lulu. “Vestian’s collaborative approach and ability to successfully complete this transaction in a difficult environment provided us with measurable savings, while helping our team alleviate the fear of returning to the office space.”